Wood County reporter. [volume] (Grand Rapids [i.e. Wisconsin Rapids], Wis.) 1857-1923, 1901-08-22
OLD TIME BANKING.
How New England institution Began
Business in 1892.

A little book issued by the Hartford
National bank takes us back to the be-
ginning of banking, for that institu-
ton dates from 1892, and there are ex-
listing in the country only four which
are older; two Of the four, however,
surpass the Hartford by not more than
one year. A strictly local demand,
not less real because recognized by
only a few persons, led to the found
ing of the bank, and the antiquated
conditions Of that time were very pc
culiar. Even then Hartford had a
good trade with the West Indies, eX-
changing horses, cattle, woods and
farm produce for rum, molasses and
some specie. But money was scarce
and was tenaciously held, for in the
last decade of the eighteenth century
(and even later trade had not
emerged from the original condition of
barter. The bank came in to relieve
this friction in exchanges, but it had
also to teach the nature and functions
of a bank. It emitted notes in small
way and by redeeming them on de-
mand in ''hard" money gradually made
people perceive that these notes were
quite as effective as the other and
much more convenient
The next discovery was that a
credit at the bank-a mere paper en-
| try which could not be handled,
though it could be seen-was in effect
an entity. and transferable entity {;
| thus the use Of checks began, and the
old Hartford bank claims for itself thai
ia it's own community it Initiated the
use Of the modern system of eX
changes by transfers Of credits, ieav
! ing to cash in any form only the set
/ t1ement of the small final balances
This bank also led in introducing dec
fmal notation into Connecticut. Sterl
ing prevailed when the bank was
founded, and UNCONVENTIONAL '--alues
varied widely in the different states
I but in June, 1892, the bank-fC1lowins
the Jefferson resolution in Congress:
in 17S5-changed to the dollar unit, al
though the State of Connecticut die
| not follow until five years later.
The Oldest Of the notes shown il
facsimile in the booklet dates 1915
and is peculiar in phraseology: "The
President, directors & Co. of the Hart
ford Bank promise A. Kingsbury OF
bearer to receive this note for Ten Dol
lars in payment of any dues to sait
Bank" There is no promise of re
demption, as by later and usual forms
by only an l o U issued on the banh
and receivable from any debtor to it
+! Very quaint appear some of the old
checks, printed on coarse paper in old
fashioned type and with an early at
tempt at a. border" The specimens
shown are spotted and ragged and date
back to 1893 and 1892. In one Noah
Webster, the photographer, calls for
the payment of "20 dollars" to IN. w
or bearer" In another Daniel Wads-
worth calls for 'The sum Of 81 Dol
lars to No. 1 or bearer" In those
times the banks money box was kept
in a vault below the surface of the
ground, below heavy door, which was
raised by rope and pulley; this box
] 2 feet long and 16 inches wide and
high, is now among the relics Of the
| Connecticut Historical society; the
bank has vaults Of the most modern
type now, together with safe-deposit
faculties for custc ners. The early
rules Of conduct are quaint in form