Accommodated withdrawals, Public signal of financial health, Capital injected
Other: Bank received assurances from capitalists (accepting its drafts) which acted as support.
Description
Two contemporary notices (Detroit Free Press cited 22nd March 1851 and follow-up April report) describe a heavy run on the Farmers & Mechanics Bank in Detroit. Bills were redeemed, outside capitalists guaranteed drafts, and there is no mention of a suspension or permanent closure — so classify as run only. Cause attributed to other banks/brokers refusing their bills (local banking trouble), not a specific misinformation event.
Events (2)
1.March 22, 1851Run
Cause
Local Banks
Cause Details
Other banks and brokers refused the bank's bills, prompting heavy withdrawals and runs; Peninsular Bank and capitalists stepped in to accept drafts.
Measures
All bills presented were redeemed; Peninsular Bank received the bills and capitalists (Charles Seymour and others) telegraphed that drafts for redemption would be accepted and paid.
Newspaper Excerpt
A good deal of excitement existed yesterday in reference to the Farmers and Mechanics' Bank, and a heavy run was made upon it.
Source
newspapers
2.April 11, 1851Other
Newspaper Excerpt
A report ... that the Farmers' and Mechanics' Bank at Detroit has failed. We learn ... it was stated that the Bank was hard run, but had not quite bursted.
Source
newspapers
Newspaper Articles (2)
1.March 28, 1851Kenosha TelegraphKenosha, WI
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Article Text
Farmers and Mechanic's Bank.-The Detroit Free Press of the 22d says : "A good deal of excitement existed yesterday in reference to the Farmers and Mechanics' Bank, and a heavy run was made upon it. Some of the banks and brokers refused their bills.The Peninsular Bank received them. All bills presented at the counter were we believe, promptly redeemed. A telegraphic dispatch was received from Charles Seymour, Esq., and other capitalists, stating that all drafts drawn by the bank for the redemption of its notes would be accepted and paid."
2.April 11, 1851The Kalida VentureKalida, OH
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Article Text
LOOK OUT FOR A BURST - We find the following in the Toledo, Republcan of Monday. We have no further particulars. and publish this in order that people may be prepared for a probable explos. ion. POSTSCRIPT.-A report was in this city yesterday, that the Farmers' and Mechan ics' Bank at Detroit has failed. We learn that, in reply to inquiries by Telegraph to Detroit, it was stated that the Bank was hard run, but had not quite bursted.
