Webster City freeman. [volume] (Webster City, Hamilton County, Iowa) 1884-1946, 1914-04-07
CHAPTER ON WEB
STER CITY BANKS.
The First One Was Established in
December, 1867, by B. F.
Miller.
WAS PRIVATE INSTITUTION.
First National Bank was Establish
ed in 1871-Others Started
Later.

of the greatest factors in the c1vlll-
cation and development of a new
country is the bank 1t increases
the available ready money, stimu-
lates business and establishes cred
it. Without the bank, business
progress would be slow and cum
brous, but with a carefully manag-
ed bank in a community the circu-
lating medium is not only largely
increased, but is kept in active cir
culation.
Hamilton county has been fort
innate in its acquisition Of bankers.
In all the history of the county
there is recorded no bank failure.
Every dollar deposited in a Hami(-
ton county bank has been returned
on demand to the depositor and ev-
cry investor in bank stock has found
his investment not only safe, but
increasing premiums have added to
the value of his stock. There have
been times of business depression
and financial panic but the banks
almost without exception can point
with pride to the fact that no mat
ter how unsettled the financial con-
dition their customers have been
taken care of. The oldest bank in
the county is the
HAMILTON COUNTY STATE BANK
OF WEBSTER CITY
This bank was established in De-
cember, 1867, by B. F. Miller. 1t
was conducted as private bank and
its place of business was in a frame
building located at the northwest
corner of Seneca and Division
streets. In 1868 Jay Sternberg, be-
came a partner and the business was
conducted under the name of Miller
and Sternberg. After a while the
bank and the building it occupied
were moved from Seneca street and
was located on No. 612 Second
street and the old bank building
is now occupied by the Oleson
jewlery store. In June, 1872
Miller took as partners w. c.
and S. Wilson, J. M. Funk and w.
w. Funk and the bank was moved
to the northeast corner of Second
and Des Moines streets and was
known as the Hamilton County
Bank. On July IS, 1875, the bank
was purchased by l.. A. McMurray
and Oliver X. Eastman. 1t was still
a private concern and was still
known as the Hamilton County
Bank. For years the Hamilton
County Bank had a struggle for ex-
istence. There was not much money
in the country and deposits were
merely nominal. In those days,
bankers were often politicians and
the control of public funds was the
chief source of profit. The Hamil-
ton County Bank was unfortunate
in its political connection and for
years was unable to secure the de-
post of any public funds. But in
spite of this disadvantage the insti-
tuition grew and on May %, 1888
was organized as a national bank
with a capital of $4,000. About
seven years later July II, 1870,
the national charter was surrend-
cred and a state bank was organic
ed with a capital Of 100000. In
1896 it erected for its home at cost
of $4,000 what was at that time
the finest bank building in northern
Iowa. This building is located on
the northwest corner of Second and
Des Moines streets. The growth Of
the institution has been steady and
enduring. In 1875 the deposits
were merely normal while in 1912
they reached over $4,000.
In 1875 L. A. McMurray became
its president, has held the position
continually for thirty-seven years
and still gives active personal at
tention to the affairs Of the bank.
There have been but two vice presi-
dents. Jacob NJ Funk was elected
May %, 1888, and continued to oc-
cupy the position until the time Of
his death in 1905. After the death
To w
elected and the position is still &C.
cupied by him. There have been
hut six cashiers, o. X. Eastman,
John w. Funk, Cyrus Smith, ]. O.
Ienning, F. H. Alexander and B. F..
Paine.
To sum up, this is the Oldest bank
in the county. It carries the heav-