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Continental
The nation has no reliable medium of exchange. Federalists and antifederalists disagree about a banking. -
First Bank of the United states is established.
Was establised and built in Philadeliphia. Congress set up the bank of the United States, granting it a twenty-year charter, or license to operate. -
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First Bank Charter
state banks begin issuing bank notes that they could not back with specie, or gold and silver coins -
Second Bank of the United States
Congress charterd the Second Bank of the United State in 1816.it was limited to a twenty-year charter just like the first bank of the United States. they worked to rebuild the confidence of the public in a nationalbanking system -
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Presdient Jackson Vetos
President Jackson vetoes recharter of Second Bank in 1832, giving rise to free banking Free Banking Era. The fall of the Second Bank once again triggered a period dominated by state-chhartered banks. -
Cut Depositing Government Funds
President Jackson issues executive order to stop depositing government funds into bank of US. By September 1833, government funds were being deposited into state chartered banks. -
Discovery of Gold
Gold Changed the banking system forever. People started to migrate from the East coast and all over to mine.Those adventurers with dreams of striking it rich, headed for California. -
Different Banks, Different Currency
An estimated 8,000 different banks were circulating currency. to add to the confusion, the federal governmental played no role in providing paper currency or regulating reserves of gold or silver. -
Begining of the Civil War
Made problems worse in the conflict of the confusion of currency.
the Unisted States Treasury issued its first paper currency since the Cobtinental. The offical name was "Demand notes." -
End of the Civil War
The Civil war make clear the need for better monetary and banking system. -
Period: to
National Banking Act
establise national banking system and uniform national currency.
It gave federal government three important powers.
-the power to charter banks
-the power to require banks to hold adequate gold and silver reserves to cover notes.
-the power to issue a single national currency. -
National Bank Notes
National Bank Notes, backed by U.S. government securities, became predominant. By this time, 75 percent of bank deposits were held by nationally chartered banks. As State Bank Notes were replaced, the value of currency stabilized for a time. -
The First Time Lock
was invented to keep vaults safe and a criminal from entering in a per set time. -
The Panic of 1907
The continuing problems in the nation's banking system resulted in this. because they lacked adequate reserves,many banks had to stop exchanging gold for papermoney. -
Federal Reserve Act
After the 1893 and 1907 financial panics, the Federal Reserve Act of 1913 was passed. It created the Federal Reserve System as the nation's central bank to regulate the flow of money and credit for economic stability and growth. The System was authorized to issue Federal Reserve Notes. Now the only U.S. currency produced, Federal Reserve Notes represent 99 percent of all currency in circulation. -
Federal Reserve Banks Open
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Great Drepression
The begining of the Great depression. -
Bank of america
Bank of America was establised. -
Roosevelt restores nation's bank
President Roosevelt helps restore confidence in the nation's banks by establishing the FDIC. -
Period: to
Government Regulation
Period of government regulation and long-term stability. -
ATM (Automated teller machine)
ATM's started to be manufactured. By 1959 They were placed in shoppin centers. -
The First Cedit Card
First bank card was issued by Bank of America. -
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New Laws
In the late 1960s to late 1979s new Laws make cear the rights and responsibilities of banks and consumers. -
Consumer's savings Bank of Worcester
The consumer's Saving Bank of Worcester, Massachusetts, introduced a Negotiable Order of Withdrawal (NOW) account, a type of checking account that pays interest. -
period of deregulation
S&Ls face bankruptcies. -
Negotiable Order of Withdrawal
NOW accounts becam available nationwide in 1980. -
Financial Institutions
During the 1990s, Financial institutions became more similar then dissimilar, although differences still remain. these include commercial banks, savings and loan associations, mutual savings banks, and credit unions. -
Bank system
After two decades of mergers, the banking system emerges stable and healthy. -
FDIC (Federal Deposit Insurance Corporation)
The FDIC creates reports on problem or troubled banks in the aggregate. Congress temporarily increased the insurance limit to $250,000. -
Checks
Checks became used more and more. Bankers would issue orders at the request of their customers, to pay money to identified payees.
