gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
7e351df98d2e9965
Response Measures
None
Events (1)
1.January 30, 1917Run
Cause
Local Banks
Cause Details
Run triggered by the failure/suspension of the Northern Bank and Trust Company in Seattle.
Measures
Management waived the 60-day notice and paid depositors in gold; paid withdrawals as rapidly as possible.
Newspaper Excerpt
Following the failure of the Northern Bank and Trust company this morning, a big run was started on the People's Savings Bank
Source
newspapers
Newspaper Articles (10)
1.January 30, 1917The Seward GatewaySeward, AK
Click image to open full size in new tab
Article Text
NORTHERN BANK AND TRUST CLOSED, RUN ON STATE BANKS FOLLOW BULLETIN SEATTLE, Tuesday. - Following the failure of the Northern Bank and Trust company this morning, a big run was started on the People's Savings Bank, which is regarded as one of the strongest institutions in the Northwest. Throughout the day there have been small runs on other state banks. National banks have been undisturbed by the crash, but on the contrary have opened many new accounts, while the Postoffice Savings bank has had the biggest day of its history in deposits. So great was the crush at the postoffice of people who had taken their funds from other banks that it was necessary to open two more windows to receive deposits.
2.January 30, 1917The Alaska Daily EmpireJuneau, AK
Click image to open full size in new tab
Article Text
RUNS ARE STARTED ON OTHER BANKS IN SEATTLE DURING DAY Seattle, Jan. 30.-There has been a run on the People's Saving Bank. at the corner of Pike and Second. throughout the day This bank is considered one of the strongest institutions in the northwest. Small runs have been made on the other state banks today. The National banks have been undisturbed today and are opening many new accounts, according to the reports being made.
3.January 30, 1917Elko IndependentElko, NV
Click image to open full size in new tab
Article Text
SEATTLE HAS BIG BANK FAILURE SEATTLE, Jan. 30.-The Northern Bank and Trust company, one of the largest financial institutions in the city failed this morning and its books have been seized by the state bank examiner. A line of depositors more than a block long was held in check for hours by the police, while they clamored for their money. It is reported that the bank is behind about $400,000. their deposits were $1,600,000. This afternoon three hundred depositors of the People's Savings bank stated a run on that institution because of the failure of the Trust company. The two banks are in no way connected.
4.January 30, 1917The Nome Daily NuggetNome, AK
Click image to open full size in new tab
Article Text
SEATTLE, Jan. 30.-At noon today a number of timid depositors of the People's Saving bank started a small run on that institution following the announcement of the suspension of the Northern Bank and Trust Company, The bank, being a saving's bank, does not have to honor checks without a 60 day notice but the management waived this right and paid all depositors in gold.
5.January 31, 1917The Washington HeraldWashington, DC
Click image to open full size in new tab
Article Text
Failure of Seattle Bank Starts 'Runs' on 2 Houses Seattle, Jan. 30.-A heavy run on the German-American Mercantile Bank commenced this afternoon, following the failure of the Northern Bank and Trust Company and the run on the Peoples' Saving Bank. Officials of the bank have posted a notice about the savings deposit windows that no demands will be met in that department unless noticè is given. A small run has also commenced on the Fremont State Bank, a city suburb. Sheriffs and officers in plain clothes have been placed in all banks where difficulties are expected.
6.January 31, 1917The Alaska Daily EmpireJuneau, AK
Click image to open full size in new tab
Article Text
BANKS ARE SOUND SEATTLE Jan. 31. - Persistent runs kept up until closing time this afternoon on the Peoples Savings Bank and the Scandinevion-AAmeri can bank. At the latter bank the line of those wishing to withdraw extended from the paying teller's window into Second Avenue and down to James street. The majority of those in line are foreigners. Both institutions are regarded as absolutely sound. T here have been no runs on the Seattle National, Union Savings & Trust and Bank of California and very slight runs on the Bank of Commerce and the Dexter-Horton bank.
7.January 31, 1917The Nome Daily NuggetNome, AK
Click image to open full size in new tab
Article Text
SEATTLE BANKS HAVE PLENTY OF MONEY Pacific News Service. SEATTLE, Jan. 31.-Following the closing of the doors of the Northern Bank and Trust Company and run on the People's Saving bank there was a considerable movement today on the part of timid depositors to withdraw funds from all the banks of the city. Both national and state banks paid all demanda cheerfully and easily except the German American which was obliged temporarily to close its doors. None of the strong banks have any fears that the runs on any of them will reach dangerous proportions. A disaptch has been received from the Federal reserve bank in San Francisco by each member of the federal reserve system in Seattle offering to discount all negotiable paper instantly if the local banks should need cash to pay to excitable depositors. This means that these banks would thus be put into possession of cash equal to their depoists which they could pay in full If the need should arise. The German American bank which closed its doors today has not been considered a strong institution.
Seattle Bank Fails To Open Doors; Run On Others Follows (By Evening Herald Leased Wirel Seattle. Wash.. Jan. 31.-The Ger. man-American Mercantile bank did not optn for business toda: A line of 300 persons gathered at the bank before 10 a. m. At that time notices were posted that the bank was in the hands of the state bank examiner. The German-Ameriean bank is capItalized at $100,000. Several hundred persons assembled in a line in front of the People's Savings bank before its doors opened this morning. and when the institution started the day's business, depositors destring their money were paid as rapidly as possible. The People's Savings is said to be one of the strongest banks in the Pacific northwest nd bankers attributed the run due to the fact that it Is located near the Northern Bank & Trust company which closed yesterday. All other banks paid depositors as they appeared and there were no street lines except at the People's bank. The clearing house issued a statement saying "The present dis. turbance is not a legitimate cause for alarm."
9.January 31, 1917Valdez Daily ProspectorValdez, AK
Click image to open full size in new tab
Article Text
GERMAN AMERICAN BANK HAS CLOSED ITS DOORS FOLLOWING A HEAVY RUN INSTITUTION IS COMPELLED TO SUSPEND PAYMENT-BIG RUN IN PROGRESS ON THE PEOPLE'S SAVINGS BANK, AND OTHER SMALL SEATTLE FINANCIAL INSTITUTIONS ARE REPORTED TOTTERING - PEOPLE SACRIFICE THOUSANDS OF DOLLARS IN INTEREST BY WITHDRAWING SAVINGS-BANKS POOL $130,000,000 FOR PROTECTION.
10.February 1, 1917The Wrangell SentinelWrangell, AK
Click image to open full size in new tab
Article Text
BANKS ARE SOUND SEATTLE. Jan. 31.-Persistent runs kept up until closing time this afternoon on the Peoples Savings Bank, and the ScandinaAt the vian-American bank. latter bank the line of those wishing to withdraw extended from the paying teller's window into Second avenue and down to James street. The majority of those in line are foreigners. Both institutions are regarded as absolutely sound. There have been no runs on the Seattle Na. tional. Union Savings & Trust and Bank of California, and very slight runs on the Bank of Commerce and the Dexter-Horton bank.
Bank runs are almost always and everywhere a deterioration of bank fundamentals.
But not for you.
You are the measure-zero exception: great fundamentals, solid bank, and yet the Diamond Dybvig fairy spread its rumor. Depositors woke up. Your collateral was not prepositioned. The Clearinghouse had it for you.
Do not pass Go. Do not collect $200. Go directly to jail… or worse.
