Prairie State National Bank (Chicago, IL)

View Charter #3882 on SPMC View balance sheet

Episode Information

Episode UID
388201122
Episode Type
Run Only
Bank Type
national
Bank ID
38820 national
Charter Number
3882
Start Date
June 6, 1893
Location
Chicago, Illinois (41.850, -87.650)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
1ffa4ab6afa188b4

Response Measures

Accommodated withdrawals, Public signal of financial health

Events (3)
1. May 8, 1888 Chartered
Source
historical_nic
2. June 6, 1893 Run
Cause
Rumor Or Misinformation
Cause Details
Widespread wild and unfounded rumors of impending financial disaster (after failure of private bankers) precipitated runs on many Chicago banks.
Measures
Paid withdrawals on demand; directors reassured public and added tellers/extra paying officers.
Newspaper Excerpt
The Prairie State National bank at the corner of Washington and Desplaines street, experienced a run during the morning and large numbers of depositors, mainly in the savings department, withdrew their money.
Source
newspapers
3. October 15, 1897 Voluntary Liquidation
Source
historical_nic

Newspaper Articles (10)
1. June 6, 1893 The Madison Daily Leader Madison, SD
Article from The Madison Daily Leader, June 6, 1893

Click image to open full size in new tab

Article Text

AFRAID OF BANKS. Scared Depositors Beseiging the Doors of Several Chicago Savings Institutions. In One Case the Police Were Called Upon to Preserve Order. One Failure and a Fair Prospect of More, Unless Confidence Is Restored. CHICAGO, June 6.-The private bank of Meadowcraft Bros. did not open at the usual hour, a notice being posted on the door to the effect that the institution was in the hands of a receiver. This failure seems to have badly scared small depositors in other banks and many of them are in the midst of fullfledged runs. At noon a run was commenced on the State Bank of Commerce, having offices on the ground floor of the Woman's Temperance temple. The lobby was packed with depositors fighting with each other for admission to the bank. The police officers were called to preserve order. The bank has a capital of $500,000. Its last statement showed deposits of $1,250,000. Much Wealth But Little Cash. A run was also started on the Dime Savings bank. at 104 Washington street, during the afternoon. This institution has deposits aggregating $600,000, and among its directors are Colonel Clowry, vice president of the Western Union Telegraph company, and ex-Senator Charles B. Farwell. President Bailey of the bank sayshe has dollar and a half for every dollar deposited, but the greater part of the money is tied up in securities. He does not know how long the bank can stand the run, but expects to pull through. The bank has a capital stock of $100,000 and a surplus of $50,000. The Hibernian bank, one of the largest institutions in the country, is also experiencing a run and is paying off depositors at the rate of three a minute. The deposits amount to $3,500,000, and they believe they can stand the run. The Prairie State National. The Prairle State National bank at the corner of Washington and Desplaines street, experienced a run during the morning and large numbers of depositors, mainly in the savings department, withdrew their money. Henry J. Evans of the New York Biscuit company, one of the directors of the bank, said that there is absolutely no apprehension on the part of the directors of the bank and that all claims of depositors would be promptly met. "The bank," said Mr. Evans, "is perfectly solid and it is as sound as any in the city."

2. June 6, 1893 Deseret Evening News Salt Lake City, UT
Article from Deseret Evening News, June 6, 1893

Click image to open full size in new tab

Article Text

TELEGRAPHIC. CHICAGO BANKS. Result of the Failure of Hermann Schaffner & Co. Last Week. SMALL DEPOSITORS ALARMED. Sensational Rumors by Board of Trade Brokers.-Plenty of Money in the City. CHICAGO, June 5.-The failure of Hermann Schaffner & Co.'s bank, which occurred last week, bore fruit today in well-defined runs which were precipitated on almost if not every one of the savings bankain Chicago. The first to feel the effect was the Bank of Commerce, where a great many Jewish citizens of the poorer class keep their accounts, and they bore down upon the bank at the opening hour. The tellers were doubled up and paid checks as fast as presented throughout the day. The Illinois Trust & Savings Bank, which has a larger line of this class of depositsthan any other bank in the city, amounting at times to over $12,. 000,000, put on an extra force of tellers and paid every one as rapidly as possible. The Hibernian Bank, which as the name implies, was a depositor for a large number of Irish-Americans of email means, was crowded all day, but found no difficulty in meeting all demands. The Dime Savings Bank took advantage of the rule requiring, if necessary, sixty days notice of withdrawal, and paid only a percentage of deposits today. The Globe Savings Bank applied the thirty day rule. The Milwaukee Avenue Savings Bank sustained a moderate run throughout the day and they, too, kept open house tonight. Equally spirited checking was noted upon the Prairie State National and Prairie State Savings, as well as upon Union Trust company and the Avenue Savings Bank, but in no case WAS any alarm felt by well-informed people. The situation was greatly aggravaled by a number of board of trade brokers, who for reasons of their ow n devoted themselves to the circulation of sensational rumors, in which they involved at one time or another nearly every bank in tue city and a large number of leading stock yard operators. For the first time in some months the Chicago sub-treasury has been drawn on to assist the depleted gold reserve in the East. Today one million In gold was shipped by express. There are still seven millions in gold here, and the amount is continually belog increased by Chicago banks depositing gold for currency.

3. June 6, 1893 Rock Island Daily Argus Rock Island, IL
Article from Rock Island Daily Argus, June 6, 1893

Click image to open full size in new tab

Article Text

WILD PANIC ALL DAY, But Only One Failure, Private Bankers, Reported. Rumor had hardly started a story of one bank than the "dame" looked around for another victim. In this way there was a big run on the Bank of Commerce, but every comer was paid in full. President Felsenthal said the bank would pay every demand made upon it and that nobody would be asked to wait a moment for his money. The Prairie State National bank, corner Washington and Desplaines, was called on for a large amount of deposits in the savings department and paid on demand. The officers said they had been preparing for just this sort of thing. A run on the Illinois Trust and Savings bank was met by the announcement that it would keep open till 10 p. m. as long as the run lasted. There are $10,000,000 deposits in the savings department of this bank, and seven men were paying depositors. Working twelve hours a day it would take seven men 100 days to pay out the $10,000,000. There was no run on the deposit accounts. A run was begun on the Globe Savings bank at 2 p. m., and the bank immediately posted notice that its legal thirty and sixty-day limit would be the rule. At 9 p. m. there were 500 persons in line before the paying teller of the Illinois Trust and Savings bank, and the officials announced that they would continue paying until all had their money. At midnight there were 200 and the bank con-

4. June 7, 1893 New Ulm Review New Ulm, MN
Article from New Ulm Review, June 7, 1893

Click image to open full size in new tab

Article Text

Scared Depositors Beseiging the Doors of Several Chicago Savings Institutions. In One Case the Police Were Called Upon to Preserve Order. One Failure and a Fair Prospect of More, Unless Confidence Is Restored. CHICAGO, June 6.-The private bank of Meadowcraft Bros. did not open at the usual hour, a notice being posted on the door to the effect that the institution was in the hands of a receiver. This failure seems to have badly scared small depositors in other banks and many of them are in the midst of fullfledged runs. At noon a run was commenced on the State Bank of Commerce, having offices on the ground floor of the Woman's Temperance temple. The lobby was packed with depositors fighting with each other for admission to the bank. The police officers were called to preserve order. The bank has a capital of $500,000. Its last statement showed deposits of $1.259,000. Much Wealth But Little Cash. A run was also started on the Dime Savings bank. at 104 Washington street. during the afternoon. This institution has deposits aggregating $600.000. and among its directors are Colonel Clowry, vice president of the Western Union Telegraph company, and ex-Senator Charles B. Farwell. President Bailey of the bank sayshe has dollar and a half for every dollar deposited. but the greater part of the money is tied up in securities. He does not know how long the bank can stand the run. but expects io pull through. The bank has a capital stock of $100,000 and a surplus of $50,000. The Hibernian bank, one of the largest institutions in the country, is also experiencing a run and is paying off depositors at the rate of three a minute. The deposits amount to $3,500,000. and they believe they can stand the run. The Prairie State National. The Prairle State National bank at the corner of Washington and Desplaines street, experienced a run during the morning and large numbers of depositors. mainly in the savings department, withdrew their money. Henry J. Evans of the New York Biscuit one of the directors of the said that there is company, bank, absolutely of the direct- no apprehension on the part ors of the bank and that all claims of depositors would be prouptly met. "The bank." said Mr. Evans, "is perfectly solid and it is as sound as any in the city."

5. June 7, 1893 The Roanoke Times Roanoke, VA
Article from The Roanoke Times, June 7, 1893

Click image to open full size in new tab

Article Text

FINANCIAL PANIC. Chicago Banks the Victims of Wild Unfounded Rumors. CHICAGO, June 6.-Wild and unfounded rumors of impending financial disaster caused a senseless run on many of the banks in Chicago. Those chiefly affected were the Prairie State National bank, the State Bank of Commerce, the Hibernian Savings bank, the Dime Savings bank, the Union Trust Company's bank and the Illinois Trust and Savings bank. Under the circumstances it is no small. tribute to the sagicy, soundness and foresight of Chicago bankers to say that all withstood the strain. Where the rumors sprang from is a mystery. It is a mystery how they spread, for wildfire is no quicker in its flight than rumor when she takes a fiing at the banks.

6. June 7, 1893 The Roanoke Times Roanoke, VA
Article from The Roanoke Times, June 7, 1893

Click image to open full size in new tab

Article Text

THE CHICAGO FLURRY. The Runs Continue But a Better Feeling of Security Prevails. CHICAGO, June 6.-A run began to-day upon the Globe Savings Bank, which has savings and individual deposits to a total of about $600,000. Its oflicers, however, were prompt in announcing that thirty days' notice would be 10. quired, and savings depositors had consequently to be content with giving notice of their intention to draw out next month. A large number of those who have withdrawn their money from banks within the past twenty-four hours have deposited in safety deposit vaults, and it is now almost impossible to secure lock boxes at any of these institutions. The crowd about the Prairie State National Bank and the Prairie State Savings and Trust Company was even greater than that of yesterday. The former institution suffered but little today, however, as the depositors are business men who have implicit conddence in the stability of the bank. Both institutions met all demands. This afternoon the crowds surrounding the different banks diminished and a measure of confidence seemed to have been restored to savings depositors. No body has attempted to assign any reason for the runs other than distrust. SPOKANE, Wash., June 6. - The Bank of Spokane Falls closed its doors yesterday morning. It was a private institution owned by A. W. Cannon, who is reported to be worth in the neighborhood of $3,000,000. Mr. Cannon is also president of the First National Bank of Palouse, and vice-president of the Washington National Bank, of Spokane. The deposits and correspondence with other banks make the liabilities over $300,000 The six national banks of this city are not affected by the failure, and all were appealed to by the private bank and refused assistance.

7. June 9, 1893 The Times Owosso, MI
Article from The Times, June 9, 1893

Click image to open full size in new tab

Article Text

LATER. THE village of Woodington, O., was almost entirely leveled by a cyclone and many persons were injured and Mrs. Mary Smith was killed beneath her building. NEARLY 400 delegates were in attendance at the opening session of the world's temperance congress in Chicago. THE office of the Hustler, a paper in Breathitt county, Ark., that advocated local liquor license, was blown up by dynamite. THE Savings bank at Sandusky, O.,' with liabilities of $205,000, closed its doors. IN a runaway at Kalamazoo, Mich., Mrs. L. A. Fagan was thrown from a wagon and killed and Mrs. T W. Murphy and Mrs. Ellison were fatally injured. CHOLERA was said to be spreading rapidly in Asiatic Turkey. THE fire loss of the United States and Canada for the month of May is estimated at $10,427,000. This is about a million greater than the aggregate for May, 1882. THE president authorizes the statement that he will call an extra session of congress early in September. THE People's bank at Bentonville, Ark., was robbed by six men of $10,000. THE Kansas Grain company at Kansas City, Mo., which claims to be the greatest buyer of grain from producers in the world, has failed. THE supreme court of Nebraska acquitted the state officials, against whom impeachment proceedings were brought. THE Merchants' national bank of Fort Worth, Tex., with a capital of $250,000, closed its doors. EPHRAIM DOMEDLAN, a Braceville (III.) miner, killed his wife and then blew out his own brains. Whisky was the cause. EIGHTEEN persons were injured in a wreck on the Iron Mountain road near Mill Spring, Mo. THE house of John Redding, a Kentucky farmer, was struck by lightning and three of its occupants instantly killed. THE president has appointed Charles W. Dayton as postmaster of New York. THE private banking house of Meadowcroft Bros. in Chicago suspended, and runs were made by frightened depositors upon the Bank of Commerce, the Prairie state national bank, the Prairie State Savings and Trust company, the Union trust bank, the Hibernian bank and the Illinois trust and savings bank, but these institutions met all demands promptly.

8. June 9, 1893 The Goodland Republic Goodland, KS
Article from The Goodland Republic, June 9, 1893

Click image to open full size in new tab

Article Text

RUN ON MANY CHICAGO BANKS. Excited Depositors Clamor For Their Money. CHICAGO, June 6.- Wild and unfounded rumors of impending financial disaster caused a senseless run on many of the banks in Chicago Monday. Those chiefly affected were the Prairie State National bank, the State Bank of Commerce, the Hibernian Savings bank, the Union Trust Company's bank and the Illinois Trust Savings bank. Under the circumstances it is no small tribute to the sagacity, soundness and foresight of Chicago bankers to say that they all withstood the strain. Where the rumors sprang from is a mystery. Whether malice or ignorance inspired the rumors is unknown, but whichever it was the effect was instanteous and widespread. Fortunately the effect was confined to uncomfortable crowding in the banking rooms, to pushing and hauling among excited depositors seeking to withdraw their money, and to the gathering of curious crowds upon the sidewalks outside the banks.

9. June 10, 1893 The Kimball Graphic Kimball, SD
Article from The Kimball Graphic, June 10, 1893

Click image to open full size in new tab

Article Text

Run on the Prairie State National. CHICAGO, June 6.-The Prairie State National bank, corner Washington and Desplaines streets, experienced a run Monday and a large number of depositors, mainly in the savings department, withdrew their money. Henry J. Evans, of the New York Biscuit company, one of the directors of the bank, said that all claims of depositors would be promptly met. "The bank," said Mr. Evans, "is perfectly solid and is as sound as any in the city.

10. June 16, 1893 Shenandoah Herald Woodstock, VA
Article from Shenandoah Herald, June 16, 1893

Click image to open full size in new tab

Article Text

South and West. JOHN C. MINING, Town Treasurer of Fort Jennings, Ohio, has disappeared with $5000 cash, and an additional shortage of $10,000 has been discovered. WILD and unfounded rumors of impending financial disaster seaused a senseless run on many of the banks in Chicago. Those chiefly affected were the Prairie State National Bank, the State Bank of Commerce, the Hibernian Savings Bank, the Dime Savings Bank, the Union Trust Company's Bank and the Illinois Trust and Savings Bank. Meadoweroft Brothers, private bankers of Chicago, failed with liabilities estimated at $450000. THE Bank of Spokane, Washington, has failed. It is a private institution, owned by A. M. Cannon, who is reported to be worth $3,000,000. The Sandusky (Ohio) Savings Bank assigned, The Merchants' National Bank, of Fort Worth, Texas, capital $250,000, has failed. THE Infanta Eulalia reached Chicago from New York: much enthusiasm was shown by the crowds that lined the route from the railroad station to the hotel. A SKIFF containing Alexander McCloud and Robert Anderson was upset in a whirlpool at Boundary City, Wyoming. The men were drowned. SERGEANT O'LEARY, of the United States Army, was shot and mortally wounded by Private Roberts, in Fort Sherman, Idaho. Jealousy over promotion was the cause. THE New Albany (Ind.) Banking Company has suspended payment. MAYOR HARRISON. of Chicago, gave a breakfast and reception for the Infanta she was the guest of President Higinbotham, of the World's Fair Directory, in the evening. THE business portion of Fargo, North Da. kota, was destroyed by fire: 2200 people were rendered homeless. Loss, $2,000,000. FIRE broke out on Page street between Baker and Lyon streets. San Francisco, Cal., and in less than an hour a whole block had been totally consumed. Three firemen were instantly killed by falling walls. THE Princess Eulalia paid her first visit to the World's Fair, going to the grounds in the afternoon and again in the evening.