Book contents
- Frontmatter
- CONTENTS
- Dedication
- Introduction
- 1 Exchange and Money Markets
- 2 The Bank of the United States in Mississippi, 1831-1836
- 3 Pennsylvania and Mississippi: The United States Bank, 1836-1841
- 4 Assignments, Preferences, and Trusts: The Failed Bank of the United States in the Courts of Mississippi and the Nation
- 5 The Business of Making Collections
- Conclusion
- Notes
- Bibliography
- Index
2 - The Bank of the United States in Mississippi, 1831-1836
- Frontmatter
- CONTENTS
- Dedication
- Introduction
- 1 Exchange and Money Markets
- 2 The Bank of the United States in Mississippi, 1831-1836
- 3 Pennsylvania and Mississippi: The United States Bank, 1836-1841
- 4 Assignments, Preferences, and Trusts: The Failed Bank of the United States in the Courts of Mississippi and the Nation
- 5 The Business of Making Collections
- Conclusion
- Notes
- Bibliography
- Index
Summary
Few threads of the story of money markets in the Lower Mississippi Valley derive from any other provenance than the dominating presence of the Second Bank of the United States and its New Orleans branch; more so even in the case of Mississippi in the 1830s and 1840s. From 1814 to 1831 one bank alone, at Natchez, was the extent of state chartered banking in the state. The Bank of the State of Mississippi had, however, by the late 1820s fallen into the orbit of the Bank of the United States, and whatever course the leviathan in Chestnut Street adopted, the much smaller Natchez bank soon found itself moving in the same direction. If the New Orleans branch of the Bank of the United States reduced its discounts of accommodation paper, the Natchez bank quickly did likewise.
By 1827, the relations between the Bank of the United States and the Bank of the State of Mississippi were precisely formalized. The relationship was predicated primarily on supporting the circulating medium emanating from the two institutions. The checks and demand notes of the Bank of the United States and its branches circulated throughout the Union, some of which found their way to Natchez where they were tendered by holders to the Bank of the State of Mississippi in settlement of claims to that institution. Moreover, the Natchez bank performed various agencies for the federal institution and its branches such as collecting bills made payable at Natchez and making disbursements for the federal government in the state of Mississippi.
The circulation of the Natchez bank tended to move toward New Orleans. Holders could tender Natchez banknotes at the branch and receive immediate credit for their deposits.
- Type
- Chapter
- Information
- Slave Agriculture and Financial Markets in Antebellum AmericaThe Bank of the United States in Mississippi, 1831–1852, pp. 25 - 56Publisher: Pickering & ChattoFirst published in: 2014