Resurgence of State Banks
The granting of charters led to the creation of many national banks and a national banking system which grew at a fast pace. The number of national banks rose from 66 immediately after the Act to 7473 in 1913. Initially, this rise in national banking came at the expense of state banking—the number of state banks dwindled from a 1466 in 1863 to 247 in 1868. Though state banks were no longer allowed to issue notes, local bankers took advantage of less strict capital requirements ($10,000 for state banks vs. $50,000-200,000 for national banks) and opened new branches en masse. These new state banks then served as competition for national banks, growing to 15,526 in number by 1913.
A later act, passed on March 3, 1865, imposed a tax of 10 percent on the notes of state banks to take effect on July 1, 1866. Similar to previous taxes, this effectively forced all non-federal currency from circulation. It also resulted in the creation of demand deposit accounts, and encouraged banks to join the national system, increasing the number of national banks substantially.
Read more about this topic: National Bank Act
Famous quotes containing the words resurgence of, resurgence, state and/or banks:
“By now, legions of tireless essayists and op-ed columnists have dressed feminists down for making such a fuss about entering the professions and earning equal pay that everyones attention has been distracted from the important contributions of mothers working at home. This judgment presumes, of course, that prior to the resurgence of feminism in the 70s, housewives and mothers enjoyed wide recognition and honor. This was not exactly the case.”
—Mary Kay Blakely (20th century)
“If the devil were to offer me a resurgence of what is commonly called virility, Id decline. Just keep my liver and lungs in good working order, Id reply, so I can go on drinking and smoking!”
—Luis Buñuel (19001983)
“I also believe that few people remain completely untouched by the thought that instead of the life they lead there might also be another, where all actions proceed from a very personal state of excitement. Where actions have meanings, not just causes. And where a person, to use a trivial word, is happy, and not just nervously tormenting himself.”
—Robert Musil (18801942)
“Ye banks and braes o bonnie Doon,
How can ye bloom sae fresh and fair?
How can ye chant, ye little birds,
And I sae weary fu o care?
Thoult break my heart, thou warbling bird,
That wantons thro the flowering thorn:
Thou minds me o departed joys,
Departed never to return.”
—Robert Burns (17591796)