Middling Interest Bank (Boston, MA)

Episode Information

Episode UID
8510983990476
Episode Type
Suspension → Run → Closure
Bank Type
state
Bank ID
851098399 hash
Start Date
August 5, 1839
Location
Boston, Massachusetts (42.358, -71.060)

Metadata

Model
gemini-3-flash-preview (chosen from majority vote of a three-model LLM ensemble)
Short Digest
6068a2c3d49d54ff

Response Measures

None

Description

The bank was closed by injunction, which then triggered a rush of bill holders; it is listed among institutions that failed to reopen in later reports.

Events (3)
1. August 5, 1839 Run
Cause Details
The closing of the bank by injunction triggered a rush of bill holders seeking redemption.
Measures
The President published a notice promising eventual redemption of all bills.
Newspaper Excerpt
The rush of bill holders was very great. But the President of the Bank has published a notice that all their bills will be eventually redeemed.
Source
newspapers
2. August 5, 1839 Suspension
Cause
Government Action
Cause Details
The bank's doors were closed by a legal injunction.
Newspaper Excerpt
Great excitement had been occasioned, on the 5th, in Boston, by the closing of the doors, by injunction of the Middling Interest Bank.
Source
newspapers
3. October 5, 1839 Other
Newspaper Excerpt
The many suspensions which have recently taken place are principally of badly conducted institutions, among which were the following:-Middling Interest Bank, Boston
Source
newspapers

Newspaper Articles (3)
1. August 20, 1839 True American New Orleans, LA
Article from True American, August 20, 1839

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Article Text

From our Edition of SUNDAY. By yesterday's mail-New York dates are to the 8th inclusive, and Philadelphia of the 9th. ht U.S. Bank stock are was selling at 110 a 1103. Pennsy Ivania has failed in obtaining a state loan of 1,500,000 for the repayment of temporary loans, now falling due. No offers had been to the 27th, the last day they were to be received. The present project is to procure a loan for the whole amount appropriated under the improvement bill, and bids to be received until the 24th August. Greut excitement had been occasioned, on the 5th, in Boston, by the closing of the doors, by injunction of the Middling Interest Bank. The rush of bill holders was very great. But the President of the Bank has published a notice that all their bills will be eventually redeemed. But little business was doing in New York in general. Shipping very dull. Cotton sales continue moderate, and prices without material alteration. A colored boy was lately run over and killed on the Long Island Rail Road, A Mr. Carmichael lately fell into the dock. whilst stepping on board the steam boat Albany, and was crushed between the bont and the dock. A locomotive, built at Loweil for the Western Rail Road, was lately tried on the Lowell road, and started with a train of 63 cars, filled with merchandize, weighing 333 tons, which it carried with ease, over an ascent of 10 feet to the mile, at the rate of 9 miles the hour. Two hundred and twenty hands are constantly employed in manufacturing stockings at Portsmouth, N. H.; 3000 pairs were made in one week. By the latest accounts, beeves were selling at Buenos Ayres at two dollars ahead. North Carolina.-Churles Shepard is re elected to Congress in the Newbern district, over Mr. Biddle his Whig opponent. Mr. S. was elected last year as a whig but was dropped on accounts of his vote on the Treasury question. The return from four di-tricts, are complete. Edward Stanley, M. T. Hawkins. Shepard and

2. October 5, 1839 Morning Herald New York, NY
Article from Morning Herald, October 5, 1839

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Article Text

in 1830-The the New System. For the last fortnight a great deal has been said in Wall street, and in various papers, about the proba. bility of another suspension of opecie payments. Well, after all this talk, some cider has made its appearance. The suspension of specie payments has actually commenced in this city. In different parts of the country it has also commenced. That is to say, those banks that have not money enough to go on with a wholesome business, have either forfeited their character, shut up shop, or refused to redeem their notes, and, consequently, ceased to issue. Amongst these we may name a few that we recollect at this moment: the Boston Middling Interest bank, a bank at Brooklyn, the Jewett city bank, the Middlebury bank of Vermont, several of the Southern banks, and the Chelsea bank of New York city. These must be included in the category we have alluded to. And as the latter more nearly concerns our citizens than any other, we here subjoin a copy of one of its bills:-

3. October 5, 1839 Morning Herald New York, NY
Article from Morning Herald, October 5, 1839

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Article Text

houses, and the merchants are sacrificing their property in vaia struggles to meet their payments. There is growing impression in Wall street, that the Philadelphia banks must soon suspend. It is also reported that a great anxiety exists in Philadelphia for the New York banks to take the lead in such a movement. That cannot be, however; the New York banks are in a situation which is impregnable, until the depositors withdraw their deposites-an event which is probable only in case a high premium for specie is created in Philadelphia by a previous suspension of the institutions there. There are many of the speculative class of dealers who are anxious to bring about a suspension to ease their own affairs.We are not, however, apprehensive that such will be the case The many suspensions which have recently taken place are principally of badly conducted institutions, among which were the following:-Middling Interest Bank, Boston, Jewett City Bank, Conn; Essex Bank, Guildhall, Vt.; City Bank of Detroit, Bank el River Raisin; Bank of Darien, Geo.; Chelsea Bank; Willoughby Bank. There is every probability that many of the Southern Banks will suspend in consequence of the delay caused to the crop by the prevailing sickness. The indebtedness of that region to New York is of such a nature, being old debts, that it is not depended upon as present means. In Philadelphia and Baltimore, however, large Jebts were accumulated last spring which will trouble the banks of those cities unless they can be realised. Should the delay of southern payment carry them to the point of suspension, New York may be obliged to follow in her wake, more especially should the news by the Liverpool be as gloomy as is anticipated. Sales at the Stock Exchange. $2000 Corporation Bonds, payable in October 1840, 97-5 shares U S Bk 100g. 5 do 100A-50 do Com 943, 50 do 95, 50 do 30 ds 95.75 do 95, :00 do 84 mes941-15 do Manhattan Com 118-6 do4State Bk New York 93)-155 do Del & Hud 574, 50 do 57th 50 do s 60 ds 574, 50 dos 60 ds 573. 150 do s 10 ds 58, 50 do S 30 ds 58, 190 do 5St, 100 do a 30 ds 58, 130 do 581, 50 do S 60 ds 58, 215 do 58, 200 do 58 100 do 8 30 ds 58. 100 do S 60 ds 58 82 do 581, 25 do nw 581, 50 do 5th, 50 do S 30 ds 58, 50 do n w 581 900 do b n W 581, 50 do S 30 ds 58-20 do Am Ex Bank 79}. 35 do 791-10 do N A Trust 531, 110 do 534. 25 dos 30 ds 53 25 do 8 30 ds 537, 50 do 54, 125 de S 30 ds 53g. 25 do s10 ds 53g. 13i do 54, 50 do s 30 ds 534. 190 do 54, 00 do b next wk 54, 25 do b 30 ds 55, 25 de 54. 25 do b 30 ds 544-150 do Vicks burg Bk. tomorrow 33-50 do Kentucky Bk Monday 72 50 do nw 724. 50 do Menday 721, 50 do nw 72.100 do 72-10do Morris Canal 29-10 do Manhattan Ins Co 1051-25 do New York Gas Co 124-50 do Mohawk 524, 25 do 521-50 do Boston and Providence 60 ds 100-25 do New Jersey RR SS-110 do Stonington 211-28 do Utica 1153-60 do Harlem Rail Road a 15 ds 124, 150 do 421, 100 do 424, 150 do b 10 ds 424, 100 de 421. State of Trade. The sale of dry goods advertised for today by John Haggerty & Sons, consisting of 194 pkgs, was but a sorry affair. Tle attendance was very thin, and the goods went off very heavily at prices mach lower than at former sales. The dry goods trade generally is very quiet at this moment. The latter part of the present month is looked forward to by the tr de with much confidence that a good business will be done. This impression is warranted by the prosperous state of the inland navigation, and the large movements of produce, the arrivals of which at Buffalo, during the month of September, were as follows 25,027 bbls. 168 239 bushs. Flour, Wheat, " 14 646 1,197 kgs. Lard, Corn, 453 bbls. 181 000 Staves, Pork and Fish, In this market, cotton is quiet. In flour there is more firmness, in consequence of the decreased arrivals. Holders are stiff at $5 75 a $5 87}.