Ba64l F23 ACENTURYGF THEFARMERSNATIONALBANK OFBUCI« COUNTY 1814:'- 1914- BI11ST0L,PA. I .LdERT R. iVJM.v LIBRARY AT CORNELL UNIVER.*^ Cornell University Library The original of this book is in the Cornell University Library. There are no known copyright restrictions in the United States on the use of the text. http://www.archive.org/details/cu31924059207948 FARMERS NATIONAL BANK OF BUCKS COUNTY BRISTOL, PENNSYLVANIA A Century's Record 1814-1914 Jliluaitrateb Compiled by CHARLES E. SCOTT, Cashier ENGRAVED AND PRINTED BY THB BRISTOL PRINTING CO., BRISTOL| PA, STOCKHOLDERS, DEPOSITORS AND PATRONS OP FARMERS NATIONAL BANK OF BUCKS COUNTY THIS CHRONICLE OF ITS CAREER AND WORK DURING THE PAST CENTURY IS RESPECTFULLY INSCRIBED JOHN HULME The First President— 1814-1817 fThis silhouette is the only representation known to be in existence.] FARMERS BANK OF BUCKS COUNTY Letters Patent October 31, 18 14 Organized December 5, 1814 Began Business January 17, 1815 FARMERS NATIONAL BANK OF BUCKS COUNTY (717) Conversion into National Banking System December 13, 1864 Under Act of Congress Approved August 22, 1864 Fifty Years in Each Sys,tem FARMERS NATIONAL BANK OF BUCKS COUNTY PRELIMINARY THE bank was organized in troublous times. The expensive loans to the Government for carrying on the war of 1812 had almost paralyzed business. Suspensions and assignments were almost universal, and the city banks had been compelled to limit their discounts and in some cases to stop loaning at all. In the summer of 18 14 the British had sailed up the Chesapeake, attacked Baltimore and Washington, and burned the Capitol. Specie payments were sus- pended, causing great inconvenience. All the small change disappeared. To supply it, various kinds of small notes were issued by individuals, some as low in denomination as two cents. These, called "shin- plasters," circulated widely, but were rarely re- deemed. The Government was unable to pay its interest on the public debt at the close of 18 14. The Treasury endeavored to negotiate a loan of $6,000,000 at 7 per cent, which was sparsely taken until Stephen Girard, of Philadelphia, came to its relief and subscribed the unsold balance, thus saving the National Credit. It was at this period that business men outside of the big cities, found that they were forced to "paddle their own canoes" or go down with the FARMERS NATIONAL BANK OF BUCKS COUNTY current. Consequently, the strong, enterprising men of Bucks County resolved that a bank should be organized in the county for the use and preservation of the business interests of the county. After weighing the matter carefully it was decided that such bank should be located at Hulme- ville which was the seat of extensive mills and apparently better adapted as a site, than any other location. GEORGE HARRISON First Cashier 1814-1823 FARMERS NATIONAL BANK OF BUCKS COUIHTY ACT OF THE GENERAL ASSEMBLY OF THE COMMONWEALTH OF PENNSYLVANIA Passed Over the Governor's Veto March 21, 1814 ESTABLISHING BANKING INSTITUTIONS AND DIVIDING THE STATE INTO TWENTY-FIVE DISTRICTS THE Act of Assembly under which the Bank was incorporated is a long one, with many strin- gent provisions. It divides the State into districts of which "the county of Bucks shall be one district, and may establish one bank to be called the Farmers Bank of Bucks County privileged to issue 8,000 shares of a par value of $50 each," and appoints as commissioners for the same, "to do and perform the several things hereinafter directed." Ends Morris John Keith Anthony Taylor John Fox Abraham Chapman Samuel Sellers Lewis Coryell Doctor Samuel Moore JosiAH Y. Shaw Hugh Ely Abraham Jacoby John Hulme George Harrison FARMERS NATIONAL BANK OF BUCKS COUNTY which commissioners shall procure one or more books and in each of the said books enter as follows, To Wit: "We whose names are herewith subscribed do promise to pay to the President and Directors of the Farmers Bank of Bucks County the sum of fifty dollars for every share of stock in said bank set opposite to our respective names in such manner and proportions as shall be determined by the Board of Directors of said Bank in pursuance of an Act of General Assembly entitled An Act Regulating Banks. Witness our hands this sixth day of June in the Year of Our Lord eighteen hundred and fourteen." Among many other stipulations it provides that "whenever the Legislature of the State may require it, the aforesaid several banks, having had sixty days notice of such requisition, shall loan to the Common- wealth a sum not exceeding one-tenth of their capital stock paid in at the time such loan shall be required, at an interest not exceeding six per cent, per annum, for any term not exceeding five years, and immediate- ly after the declaration of the dividends or net pro- fits, the President, Directors and Company of such banks ' shall transmit six per cent, on the whole amount of such dividends to the State Treasurer for the use of the Commonwealth, accompanied by a sworn certificate as to the whole amount of such dividends during the year. "And if such banks shall be exempt from the payment of tax or duty to the United States, then the additional sum of two per cent, shall be trans- mitted as aforesaid to the State Treasurer. 10 FARMERS NATIONAL BANK OF BUCKS COUNTY "In case of failure to make said payments, or if no dividend shall have been made or declared during the previous year by any bank having been incor- porated for six months previous to the first Monday in November, the charter of the bank so neglecting to pay or declare dividends, shall from henceforth be absolutely null and void, and the said bank shall be deemed dissolved, unlawful and unincorporated." The first systematic attempt to obtain sufficient subscriptions to the stock to warrant an application for a charter with a reasonable hope that a permanent organization could be effected, and a bank established that would prove a benefit to the community proved hard up-hill work for the projectors. It was nof^an easy task to induce the staid Bucks County farmers to hazard their small capital — already seriously impaired by the war — in this new venture at such a critical time. In an old record, antedating by several months the establishment of the Bank, we find the foregoing signed agreement, with the result of the efforts of the men who traveled over the settled portions of the county to secure subscribers who would pledge them- selves for the first instalment of the Capital Stock. 1814. June 6. First Day's Subscription. Shares Thomas Jones 2 John Pugh 2 11 FARMERS NATIONAL BANK OF BUCKS COUNTY William Watts 2 William Watts Hart 2 June 7. Second Day's Subscription. Septimus Evans 4 Enoch Harvey 2 Asher Miner 2 June 8. Third Day's Subscription. William Watts 2 E. Morris 6 Elizabeth Pugh 2 Fourth Day's Subscription Fifth Day's Subscription. Sixth Day's Subscription. No Shares Subscribed. Josiah Y. Shaw attended on the 9th at Col. Sipers. No Shares Subscribed. Aug. 10. William Long attended at the House of Samuel Nicholas on the 10th of August. No Shares Subscribed. Aug. 11. John Houpt attended at the House of William Strawn. John Houpt 10 Aug. 15. Lewis S. Goryell attended at the House of G. Mel- drum's. No Shares Subscribed. Aug. 16. Enos Morris, Jno. Hulme and Jno. Fox attended at Newtown, and No Shares Subscribed. 12 June 9. June 10. June 11. Aug. 8. Aug. 9. FARMERS NATIONAL BANK OF BUCKS COUNTY The first minute made in the Minute Book of the Bank recites that "The subscribers to the stock of the Farmers Bank of Bucks County, being duly incorporated by Letters Patent bearing date the thirty-first day of October, 1814, in pursuance of an Act of the General Assembly, of the Commonwealth of Pennsylvania, entitled *An Act Regulating Banks' passed March 21, 18 14, did, by public notice, appoint Monday the fifth day of December in the same year tor the purpose of organizing the corporation, and of choosing thirteen directors, and for fixing the site of the Bank." At the meeting held December 5, 18 14, at the house of Harman Mitchener, Hulmeville, OHN HuLME Benjamin Field i OHN Paxson Jonathan Thomas ^ohn kirkbride joseph kirkbride Moses Moon John Praul Anthony Taylor Isaac Hulme Isaac Stackhouse Joseph Hulme Enos Morris were duly elected Directors, and Hulmeville was fixed upon as the site of the Bank. On Monday, December 12, 18 14, the Directors convened at the same place, and elected John Hulme, President of the Bank and George Harrison, Cashier. A committee was appointed to procure a seal, iron chest, copper plates for printing notes of the Bank, bank-note paper, books and stationery for the 13 FARMERS NATIONAL BANK OF BUCKS COUNTY use of the Bank. Enos Morris, Moses Moon and Anthony Taylor were appointed to prepare and report a system of by-laws for the government of the Bank. These committees reported on January 9, 1815, that they had fulfilled their respective duties; that William Harrison, engraver, of Philadelphia, was engraving a plate to contain two of five, one of ten and one of twenty dollar notes for the sum of $230, The Board took into consideration the propriety of making an arrangement with the Secretary of the Treasury of the United States to pay a compound of one and one-half per cent, on the dividends in lieu of the Stamp Duty imposed by Congress upon bank- notes, and the President was directed to correspond with the Secretary of the Treasury on that subject. An agreement had also been effected with George Hulme for as much of his house as might be necessary for the accommodation of the Bank for ^100 per annum, in pursuance of which the necessary desks and counters had been prepared, the windows and doors had been cased with sheet iron and the window- shutters secured by iron bars fastened by keys on the inside. Joseph T. Pickering was chosen as Clerk, and the salary of the President was fixed at ^300 per annum, that of the Cashier at ^800 and the Clerk $300 to be paid quarterly. It was resolved that the Bank commence operations on the 17th instant at 9 o'clock, a. m. ; 14 q/ cr^^t-^^^ tyl^^e2e/^<7--u^ President 1821-1823 FJRMERS NATIONAL BANK OF BUCKS COUNTY that Tuesday and Friday of each week be the days of discount, and that public notice thereof be given in the Pennsylvania Correspondent, published at Doylestown, and the paper printed at Newtown. At the meeting of the Board, January 17, 1815, the committee appointed for the purpose presented an elaborate and carefully considered set of by-laws, comprising thirty-two sections ; which set of by-laws has not been amended in any important particular from that time to the present, and has been used as a model by banks organized at a later date. The committee appointed for the purpose of procuring the plate, bank-note paper, etc., reported further that 7,310 sheets of bank paper had been purchased of Thomas Ames, amounting to $234.65 ; that the plate had been finished and that Charles V. Harrison, of Philadelphia, copper- plate printer, engaged to print 800 impressions or half sheets of l^nk-notes of the following denominations: two of five dollars, one of ten dollars and one of twenty dollars, and that all the other articles necessary for the institution had been procured, including an iron chest with a secret lock, proof against burglars. This chest, still in the possession of the bank as a time-honored relic, is but 27 x 14 x 16 inches in size, the iron being but % inch in thickness with crude ornamentation; is fastened by weighty pad- locks, with an additional fastening by a lock in the lid, a peculiarity of which was, that when the key IS FARMERS NATIONAL BANK OF BUCKS COUNTY was withdrawn for the night and a knobbed pro- jection pushed over the opening, it was supposed that a burglar would be unable to find the key-hole. That it was presumed to be a work of art is shown by the amount it cost; the original receipt being reproduced below from the old receipt book. Received April 4, 1815, of the Farmers Bank of Bucks County, Seventy-three dollars 12/100 in full for Iron Chest and expenses as one of the Commissioners. Anthony Taylor. 73 12 The President reported that for the convenience of small change with which to commence business, he had procured Bank Tokens of the Philadelphia Bank to the amount of $200 for which he paid a pre- mium of five per cent. At the meeting of the Board, January 20, 181 5, the committee was instructed to procure from Wil- liam Harrison, a second plate, to contain two of one, one of two, and one of three dollars. On January 27th, the President was directed to procure a large chest, to be made of strong plank, covered with sheet iron and secured by strong locks and bolts in a secret manner. NOTE RECORD The "Register of Notes Issued" gives a com- plete history of every denomination issued from the beginning and has been a valuable aid, even up to 16 ^ CO •5 a -iiqg .S n u ji ca H m -a o^ X OJ > H g =§.Sc o s s-s ■ H s S- m " g a p. P o M ui a u ^ S aj OJ C -aia ri o "w m a > ii " c S OS •5 fl ■" 3 U J3 FARMERS NATIONAL BANK OF BUCKS COUNTY the present time, in detecting counterfeit and "bad" notes by showing dissimilarity in date, vignette, or other characteristic of the genuine. We also find that the bank used due diligence in circulating its own make of currency as fast as it came from the printers, for the issue during the first week's operation as shown by the record was: 1815. January 20— Issued 31,600.00 21— " 400.00 " 23— " 2,000.00 " 24— " 800.00 " 26— " 1,200.00 " 28— " 1,200.00 37,200.00 A $io note dated Hulmeville, March 29, 1815, among the first issued by the Bank, was received from Doylestown National Bank, August 4, 1908, having been sent there by H. C. Fisher, Anson, Texas, with inquiry as to its value. Another $10 note of same date and issue was received for redemption from W. B. Drumm, Lancas- ter, Pennsylvania, January 26, 1909. Both were redeemed. Effort was made to trace the history of these two notes (evidently carefully preserved as a relic by some former Bucks Countian), but the holders were unable to give information of value. 17 FARMERS NATIONAL BANK OF BUCKS COUNTY On February 7th, notice was ordered published in the Pennsylvania Correspondent and Herald of Liberty, stating that " specie deposits will be received at the Bank and held subject to the special drafts of the depositors in such sums and at such times as they may choose to draw for the same." As the bags and their contents were kept intact for delivery to the owners this may be styled a beginning of what is now an elaborate system of "Safe Deposits." Joseph Hulme was directed to procure an iron door with necessary bolts and locks suitable for a vault. (The old brick cupboard, with this door intact is still to be seen in the house at Hulmeville, being now used by the thrifty housekeeper as a place of security for jams and jellies.) An additional plate was ordered engraved for the printing of fifty and one hundred dollar notes. Announcement was made that the Bank would loan, on sufficient security being given by bond, mortgage, note or otherwise, for one year at six per cent., one-fifth of the paid-in capital. The President reported that he had opened an account with the Mechanics Bank of Philadelphia by a deposit of ^1,030, and with the Bank of Northern Liberties by a deposit ot ^3,590, these banks to accept the notes of this Bank to the extent of the deposits; and that for purposes of small change he 18 FARMERS NATIONAL BANK OF BUCKS COUNTY had procured $iio of the Bank Tokens or tickets of the Bank of North America, for which he had paid a premium of five per cent. At this time the country was flooded with "duebills" or " shinplasters" issued by the mer- chants, butchers and others, as well as by Borough and City Governments, in denominations of i, 2, 5, 10, 25 and 50 cents, many of which were never redeemed, and in order to give more security, the banks adopted similar devices, known as "Bank Tokens," or tickets, but the practice was not entered into by this Bank, although it redeemed those issued by its customers when presented in sums of one dollar if the customer's account warranted it. As scarcely any one had a full dollar's worth, there was con- siderable "swapping" and trading done. The first statement issued February 14, 1815, shows : Statement of Farmers Bank of Bucks County, February 14, 1815. Bills and notes discounted ?2 1,897.95 Notes of other Banks 21,991.00 Specie 1,177.00 Due by other banks: Mechanics Bank of Philadelphia 1,030.00 Northern Liberties of Philadelphia 3,590.00 249,685.95 Capital Stock in part 219,130.00 Discounts received 255.91 19 FARMERS NATIONAL BANK OF BUCKS COUNTY Own notes issued 323,160.00 Own notes on hand 1,250.00 In circulation 21,910.00 Money to credit of depositors 8,390.0^ 349,685.95 On March 2ist, the committee in charge re- ported the entire cost of fitting up the building, engraving plates, providing iron chest, books, sta- tionery, etc., as 3i,777, which was ordered paid. The business of many succeeding meetings seems to have been the passage of resolutions for the printing of bank notes in lots of from 2,000 to 3,000 impressions. On November 6, 18 15, the committee to examine the books and accounts reported cash on hand: Specie paid in on Capital Stock 32,848.25 Specie received as deposits 3,207.85 Bank notes of other banks 32,120.00 Foreign bank tokens and cents 287.14 Own notes on hand 46,444.00 Counterfeits taken 112.00 385,019.24 Discounts amounted to 37,633.17, from which deducting 34,274.68 for expenses and taxes, left 33,358.49, from which a dividend of eighty cents per share, equivalent to eight per cent, per annum for the time that the bank had been in operation, was 20 .^/^^?i>^^^ Director J814-1823 President 1823-1838 FARMERS NATIONAL BANK OF BUCKS COUNTY declared, and the balance $153.69 carried to Surplus Account. The first dividend, declared November 6, 1815, was participated in by 138 shareholders, and the names of the parties who receipted for the dividend show that of those whose signatures were appended to the original agreement " many fell by the wayside." As evidencing the postal facilities of that time, the minutes record that John Bessonett, of Bristol, shall receive $20 per annum for carrying the mail thrice a week between Bristol and Hulmeville for the convenience of the bank. John Bessonett was the proprietor of what is still known as the "Delaware House," at the corner of Mill and Radcliffe Streets, the oldest hotel in the Borough, having been established by his father, Charles Bessonett, or more properly "Bcnezet," a Frenchman, in 1765, and the hotel then bore the name of "George the Third." A regiment of American troops passing through the town during the Revolution shot the old sign of "George the Third" so full of holes that Bessonett changed the title to "Delaware House," in order that it should not offend either the British or the Yankees. The postoffice in Bristol was the first one established in Bucks County, having been opened by Colonel Joseph Clunn, as postmaster, at his residence 21 FARMERS NATIONAL BANK OF BUCKS COUNTY on Mill Street, and continued there until his death in 1816. The residents of nearby villages were compelled to come to Bristol for their mail. On July 19, 1816, the Board authorized the Cashier to subscribe for 96 shares of the Bank of the United States, borrowing from Anthony Taylor, $2,400, United States 6% stock and applying $480, in specie, from the vault for the first instalment on same. A second instalment of $960, in specie and $2,400 in United States 6% stock was paid, and on May 27, 18 17, the Cashier reported that he had sold the 96 shares, in pursuance of a resolution adopted by the Board, showing a gain of $2,952 in the trans- action. The President, John Hulme, having died during December 18 17, Joseph Hulme was elected to suc- ceed him. At this date the individual deposits amounted to $19,056.24, while the notes of the Bank in circulation were $99,101. HARD TIMES During 18 16 and 1817 business was dull and times were hard, with much suffering among the poor. The resumption of specie payments in February, 1817 was merely nominal, both American and Foreign coins being at a premium, and the only money in circulation being bank-notes and "shinplasters," 22 JOHN PAXSON Director 1814-1838 President 1838-1850 FARMERS NATIONAL BANK OF BUCKS COUNTY which were also scarce, the larger part of the United States having no money at all, the people carrying on business by the primitive method of barter. The United States Bank urged the other banks to increase discounting, but the officers of these banks feared that the flooding of the country with their own notes would eventually lead to excessive inflation and consequent depression. This proved true, for in the fall of 1817 the United States Bank was compelled to enforce a reduction of $7,000,000 which produced a severe monetary stringency. Congress tried to relieve this by law, as it is trying to regulate financial matters to-day, but the new laws only made matters worse. On May 3, 18 19, the statement shows: Statement of Farmers Bank of Bucks Cqunty, May, 3, 1819. Bills and notes discounted 3149,797.51 Cash in Bank: Specie 5,385.45 Notes of other banks 5,463.00 Own notes on hand 153,205.00 3313,850.96 Capital Stock 260,000.00 Surplus. 5,930.00 Own notes in circulation 240,402.00 Dividend 4% 2,403.60 Due other banks 2,376.16 Depositors 2,739.20 3313,850.96 23 FARMERS NATIONAL BANK OF BUCKS COUNTY The following resolutions, adopted July 6, 1819, illustrate the liberal spirit shown by the Bank towards its customers: "Resolved, That it is the duty of the Board of Directors to support the credit of the paper of this institution during the present stagnation of trade, and that funds may be raised, we therefore authorize the President and Cashier, as often as they find occasion, to borrow money or obtain discount in order to raise funds for the purpose aforesaid." On December 19, 1820, the Cashier was sub- poenaed to testify at Fairfield, Connecticut, against a person then in custody charged with passing counterfeit notes of this and other banks, and on April 17, 1821, a committee was appointed to attend to the prosecution in Bucks County of certain persons charged with passing counterfeit notes. One hun- dred dollars was appropriated to employ counsel in this case. On July 3, 1821, Joseph Hulme resigned the office of President, and James Moon was elected as Presi- dent pro tern, and on August 7th, John Newbold was duly elected President. On November 5, 1821, Individual Deposits were $5,353.26 and the bank's circulating notes had been reduced to $30,615. The Board considered it inexpedient to declare any dividend at this time, the dividends hitherto having been at the rate of 8% per annum continuously from the organization, with the exception of that of May 1821, which was a semi- annual dividend of 3%. 24 Director 1839-1874. President 1874-1887 (^Zi^/^^^^ (B^^-^^^ Director 1849-1850. President 1850-1874 FARMERS NATIONAL BANK OF BUCKS COUNTY April 2, 1822, Robert C. Beatty was elected Clerk. Compositions with insolvent debtors, arrange- ments for extensions and settlements for small per- centages were frequent. The Board was constantly engaged in law suits for recovery, it therefore being necessary to have a permanent counsel. REMOVAL TO BRISTOL On October 25, 1823, George Harrison resigned as Cashier, and on November 24, William Newbold was elected to succeed him. Anthony Taylor was elected President. The following resolution was unanimously adopted : " Whereas: It appearing that more than two-thirds of the stockholders of this institution have given their consent in writing for the removal thereof to Bristol, therefore it is moved and seconded that we move this Bank to the Borough of Bristol; that the thirty-first day of this month be the day of removal, and that Anthony Taylor, William Richardson, B. Swain and John Paxson be a committee to superintend the same and prepare the Banking House in Bristol for the purpose." The committee therefore removed the books and cash to the location prepared, being a portion of the brick house at the corner of Mill and Cedar Streets. It is stated that Anthony Taylor placed the strong box and books in his chaise and deposited them in the new location in one trip with his one-horse chaise, leaving only the four-inch brick cupboard 25 FARMERS NATIONAL BANK OF BUCKS COUNTY with its sheet-iron door as a reminder of the bank's stay in Hulmeville. In 1823, the Board of Directors who carried out the resolution of the stockholders to remove the Bank from Hulmeville comprised Anthony Taylor, President John Kirkbride Enos Morris Thomas Jenks Joseph Jenks William Richardson Jonathan Thomas Aaron Feaster John Paxson On November 2, 1824, dividends were resumed by the declaration of 2% for the last six months. Under the Act of Assembly, passed March 25, 1824, the Bank was re-chartered, and thirteen Direc- tors were elected on November 25, 1825, viz.: Anthony Taylor Aaron Feaster William Richardson Enos Morris James Moon John Paxson Isaac Stackhouse Joseph Jenks Jonathan Thomas William Cowperthwait Abraham Warner James Johnson John Bessonett Anthony Taylor, Esq., was unanimously re- elected President. A dividend of 1/3 of 1% or 5c per share was de- clared on November 7, 1826, the deposits at that time being $21,226.73, the bills discounted, $83,718.48, and the judgments held by the Bank, $26,222.82. The notes in circulation were $54,832. 26 FARMERS NATIONAL BANK OF BUCKS COUNTY January 23, 1827, William Newbold having resigned as Cashier, Robert C. Beatty, who had practically been acting as Clerk and Cashier during the incumbency of Mr. Newbold, was elected Cashier, and on February 27, Charles T. Iredell was elected Clerk. November 6, 1827, the Board had a general housecleaning, wiping out the stock notes given by stockholders on which instalments had not been paid, and declaring a three per cent, dividend, or 45 cents per share on the real cash capital of ^60.090. June 9, 1829, a loan was made to the Common- wealth of Pennsylvania, of $15,000 at 5%, to be expended 'on the Pennsylvania Canal, Delaware Division, and on January 12, the Board was notified by the Secretary of State, that a loan of 5% of the Capital must be loaned to the Commonwealth until the expiration of the present charter, it being the custom of the Legislature in those days to "bleed" the banks to cover any deficiency in the State Treasury. It was also a favorite proceeding with them to refuse to re-charter banks unless they fur- nished a large bonus to provide for shortages in the State Treasury occasioned by extravagant expendi- tures. The banks were also compelled to loan to the State; the amount of the loan and the rate of interest being stipulated by the State Treasurer, under penalty of a forfeiture of the charter. 27 FARMERS NATIONAL BANK OF BUCKS COUNTY On April 20, 1830, the following resolution was adopted : "Resolved, That the funds of the institution are not considered safe, in not having a vault. It is therefore thought proper that a suitable house be purchased, and the necessary alterations made for the convenience and safety of banking, and that Anthony Taylor and John Paxson be a committee to purchase a Banking House and report to the next Board." The committee reported at the next session that they had purchased of James Craig his house and lot on Radcliffe Street, the present location, at a cost of $5,000 and notice was directed to be given to Isaac Peace, the owner of the house then occupied, that the Bank would vacate the premises at the expiration of the three months from date. Anthony Taylor, John Paxson and Joseph War- ner were appointed a committee to superintend the alterations of the new home of the bank and the erection of a suitable vault therein. This fine old Colonial mansion is a model of purely Grecian architecture, with its twenty-four inch walls, its porticos in front and rear, supported by massive columns which are still unharmed by time. It was found on erecting the new vault in 1904 and cutting into the two centre ones on the river- front porch to admit the masonry that they were fashioned from clear white pine, two inches thick, built up in sections six inches in width, without knoi 28 ROliERT C. BEATTY Cashier 1827-1867 CHARLES T. IREDELL Cashier 1867-1882 FARMERS NATIONAL BANK OF BUCKS COUNTY or blemish, the sections being held together by glue, without nails or screws — the glue still holding them together so compactly that the \^ooden staves split in the middle without the glue allowing them to part from each other. It was erected by James Craig, a nephew of Nicholas Biddle who succeeded Langdon Cheeves as President of the Second Bank ot the United States, at Philadelphia, in 1823, which promoted sound methods and furnished a currency that — according to Congressional reports — ^was "as safe as silver" and "more convenient." It was used as a dwelling until sold to the Bank, the officers of which have made no change in its exterior or interior except the placing of a vestibule under the front portico, and the erection of the pres- ent vault under the rear portico, with such changes in the "sun parlor" used for banking purposes as were required for their accommodation. President Jackson's annual message to Congress, in 1829, attacked the Bank of the United States as to constitutionality and expediency. He vetoed the bill passed by Congress for its re-charter. It obtained a Pennsylvania State charter in 1836, by agreeing to pay the state a bonus of ^2,000,- 000 and $100,000 annually for thirty years, as well as subscribe to the stock ot various transportation routes, but it suspended with the other banks in the crisis of 1837, and went into liquidation in 1841. 29 FARMERS NATIONAL BANK OF BUCKS COUNTY The shareholders lost in full, but other creditors were paid. When Anthony Taylor took charge of the Farm- ers Bank of Bucks County as President, he went to Nicholas Biddle and asked him to send him a competent man to straighten out the tangled affairs of the Bank. Mr. Biddle sent Caleb P. Iddings, a gentleman of much experience, who was afterwards fond of relating how he accompanied Mr. Taylor when he "brought the entire bank from Hulmevillc to Bristol in his chaise." Mr. Iddings' services in extricating the Bank from its difficulties, and in teaching the officers proper methods of transacting the business of banking, were invaluable, but as, the expense for his time and labor was borne by the President individually, no mention of him appears upon the minutes. In 1830, the time ot the removal of the Bank from the Mill Street house to its present location on Radcliffe Street, the Board ot Directors consisted of: Anthony Taylor, President Jonathan Thomas Enos Morris James Moon William Richardson Joseph Warner Isaac Stackhouse John Kirkbride Joseph Jenks John Praul Aaron Feaster John Bessonett John Paxson On May 25, 1830, a special meeting of stock- holders was called to consider the exact situation of the affairs of the Bank, when it was resolved that 30 ''w/py4'"'?%i'''f'' pcff^f'-'-f" I Director 1863-1887. President i887-l8gt FARMERS NATIONAL BANK OF BUCKS COUNTY "the stock of the Bank shall be put at its present absolute value, which is Two dollars and fifty cents per share, as shown by statement, and that an instal- ment of Twelve dollars and fifty cents be called; and that it is optional with the stockholders to pay the call on their present number of shares, or by relinquishing five out of ten shares, they will receive a certificate acknowledging the payment of Fifteen dollars per share," which action was unanimously approved, and thanks returned to the President and Directors for the able and judicious manner in which the affairs of the Bank had been managed under their direction. On January 5, 1832, the Board addressed a petition to Congress for the re-chartering of the Bank of the United States, claiming that it had accom- plished its object in preserving a uniform and sound currency throughout the Union, equalizing domestic exchange ; in controlling and restraining inordinate issues of local banks ; in the efficient aid it renders in time of commercial stress; and in elevating and maintaining abroad the financial and commercial character of the country, and urged that its repeal would produce a distress throughout the country that would be deep, extensive and long felt. April 19, 1836, Benjamin Brown was engaged to sleep in the Banking House for its protection; he to have the use of the dwelling part of the house, and to be paid ^125 per annum. A bell (still attached 31 FARMERS NATIONAL BANK OF BUCKS COUNTY to the front of the portico) was purchased to furnish an alarm to the townspeople. A contract was entered into for lining the doors and window-shutters with iron at a cost of ^25. During the financial panic of 1837, the Bank had $25,000 in specie in its vault, but the following resolution was adopted by the Board : "Resolved, That inasmuch as the city banks have all suspended specie payments, it is expedient that this Bank also suspend specie payments except for small sums." All the circulating notes of the Bank that were offered for redemption, were however, redeemed in gold, which practice has been adhered to in all sub- sequent periods of financial depression. This panic followed the failure of the second United States Bank to obtain a renewal of its charter. Although the order for suspension by the banks in Philadelphia took effect on May 10, 1837, the statement of this bank shows on May 9, 1837: Statement of Farmers Bank of Bucks County, May 9, 1837. Notes and drafts discounted 3206,897.72 Bond and judgment 268.13 Specie 25,015.96 Notes and checks of other banks 5,072.50 Due from sundry banks 510.13 Real estate 8,061.17 Expenses paid 15.39 Proteits paid 35.41 3245,876.41 32 Director 1887. Vice President 1890. President from 1894 GEORGE A. SHOEMAKER Director from 1890 CHARL]>:s K. SCOTT Director from 1897 A. RUSSELL BURTON Director from 1908 BENJAMIN J. TAYLOR President Director from 1887 JOSI'T'H R. GRUNDY Dii'ector fmni 1009 EDWARD WINSLOW CLARK. Director from 1912 A. liROCkSHOEiMAkER Director from 1912 FARMERS NATIONAL BANK OF BUCKS COUNTY Capital 292,220.00 Contingent fund 10,000.00 Profit and loss 468.18 Discount and Interest 34.03 Own notes issued ?161,470.S0 Own notes on hand 68,040.00 In circulation 93,430.50 Due sundry banks 10,805.75 Due State Tax 507.21 Dividends 5,195.38 Depositors 33,215.36 2245,876.41 The statement of the preceding week, April 28, 1837, showed that the notes of the Bank issued were ^227,575, while the specie on hand was only $24,- 515.97, and the notes and checks of other banks, $12,395, evidencing a reduction in the issue of cir- culation of $61,105 in one week. The next week's statement, on May 16, showed an increase in specie of $991.36, with an increase in deposits of $2,126.09, while the statement of the succeeding week, on May 23, showed a deposit line of $37,411.15, evi- dencing that Bucks County people still had faith in their own Bank. An application from a Bucks County attorney for the position of attorney for the Bank was declined on the grounds that "the Bank has no business at present which requires legal attention, and hopes not to have for the future." 33 FARMERS NATIONAL BANK OF BUCKS COUNTY John Paxson was elected President, December 12, 1838, to succeed Anthony Taylor, Esq., deceased. As an evidence of the shortage of money at this period, the Cashier was instructed not to receive certificates of loan of less than one dollar, and all payments of less than one dollar to be paid in coin. The amount of the bank's own notes issued was $143,480.50, while the specie in the vault was but $27,028.61. On March 22, 1842, the Bank set an example by paying all Relief Notes of the Commonwealth pre- sented at the counter in specie, together with all other legal demands, when specie was requested. On November 20, 1850, Anthony Burton was elected President to succeed John Paxson, deceased. On April i, 1855, the present iron fence on the front of the bank lot was purchased, and a new burglar-proof safe was provided for the vault. On November 11, 1856, Charles T. Iredell, who had served the Bank as Clerk for almost thirty years, tendered his resignation on account of ill health and failing eye-sight. The Board, in accepting his resignation, passed resolutions of sympathy, and commended the care and fidelity with which he had performed his duties while in the service of the Bank. J. K. Wildman succeeded him. The Bank passed through the panic of 1857 without any difficulties, and redeemed the notes of its own issue in gold when demanded at the counter. 34 FARMERS NATIONAL BANK OF BUCKS COUNTY At the time of the election of President Lincoln, Tuesday, November 6, i860, the condition of the Bank was: Bills discounted, current $181,164.78 Bills discounted, protested 9,479.45 Loan to Commonwealth of Penn'a 1,006.00 Specie 31,146.30 Uncurrent notes of other banks 3,348.00 Checks of other banks 2,539.93 Due from other banks 29,183.33 Expenses 1,478.86 Protest a/c 40.76 3259,387.41 Capital 392,220.00 Profit and loss 33,894.55 Discount, interest and exchange 5,878.76 Notes in circulation 59,378.00 Due to other banks 17,095.43 Dividends 451.80 Depositors 50,468.87 3259,387.41 In 1 86 1 an application for an appropriation to defray the expenses of an Act of Assembly legalizing the suspension of specie payments by Pennsylvania banks, brought forth a resolution of the Board that : "The Farmers Bank of Bucks County has not been in a state of suspension; that we do not approve of the law passed April 17, 1861; that we never authorized any one to go to any expense for the purpose of procuring the passage of that, or any other law, at the last session of the Legislature, and that we will not pay anything to the committee." 35 FARMERS NATIONAL BANK OF BUCKS COUNTY On September i6, 1862, two hundred dollars was appropriated for the support of families of persons who had volunteered to defend the State, and $20,000 in gold was deposited in the United States Mint as a temporary loan to the Government. On December 5, 1862, the Bank was again asked by the State for a pro-rata deposit to equalize the State interest, and replied that we had not availed ourselves of the act legalizing the suspension and for that reason the Bank is not bound to pay the amount. The Board authorized a payment to the Cashier personally of $200 out of the premium realized on the sale of United States Custom House notes saved by him from time to time. Being again appealed to by the State Treasury for a contribution, the Cashier was instructed to reply that "the Bank will advance its proportion for the purpose of sustaining the credit of the State, but do not make the advance under the late Act." On July 6, 1863, an appropriation of ^loo was made for the relief of families of soldiers who had gone to Harrisburg in defense of the State. A loan was also made to the State of the Bank's proportion of funds required for the payment of the State Militia under the Act of June 26, 1863. John K. Wildman having resigned to enter the brokerage business, Charles T. Iredell again assumed 36 hJ ffi ffi c W 3 n 2 < ^ H CO e W n O 7^ !? n 5 o c s '^ v: H 2: CO w M * Cd 03 > w ^ ?^ SEAL PRESS OF 1814 and the modern press of today FARMERS NATIONAL BANK OF BUCKS COUNTY the duties of Clerk on October 20, 1863, and Edward Swain was elected as additional Clerk. Donations of $100 to the Sanitary Commission of the Borough for sick and disabled soldiers, and ^50 to the Union Volunteer Refreshment Saloon of Philadelphia were made in May, 1864. INCIDENTS OF STATE BANKING Prior to the passage of the National Banking Law, counterfeits and notes of broken banks floated around promiscuously. A business man required to have the latest issue of the Counterfeit Detector constantly on his desk, and as that was issued weekly, there must be an interval during which he was in doubt as to whether the notes received during the week were genuine, or were the notes of still solvent banks. Even with this precaution there was scarcely a bank or tradesman who did not get spurious notes, though many clerks became adept in detecting the counterfeits. Those who relied on the monthly issue of the Dectector were far worse off. Arrests of persons mak- ing or passing spurious bank-notes were frequent, but this did not appear to deter others from engaging in the same nefarious business. On one occasion, Albert L. Packer, a prominent dealer in coal, stone and building material, who owned the property, since purchased by Thomas 37 FARMERS NATIONAL BANK OF BUCKS COUNTY Scott, adjoining the bank lot, and who aided the Bank materially by circulating its notes among the firms with whom he dealt (he being one of the Bank's most valued customers) took several hundred dollars of crisp, new notes just issued, on a business trip to Connecticut, and as the latest issue of the Detector announced a new batch of counterfeits on the Farmers Bank of Bucks County he was apprehended as being one of the gang, and an officer of the bank was compelled to proceed to Connecticut in order to effect his release. A clerk in one of the grocery stores in Bristol, who enlisted at the beginning of the Civil War, knowing that the proprietor had a number of notes of broken Southern banks in his safe, and also know- ing the dilatory ways of the Southerners, asked that these notes be given him so that he might have some- thing to swell his pocketbook. When he got to the front and had leisure to go to the village store, he would note whether the merchant was depending upon an ancient fly-specked Detector, and if so, would present his note and purchase some small article for which he would get considerable change. The store- keeper referring to the old Detector would find that it recorded the bank as solvent, and the note genuine, and be pleased with the sale until he attempted to use the note outside of his own limited bailiwick. Many a deficiency in rations was supplied in this manner, as the grocers in the South were apt to 38 CHARLES E. SCOTT Cashier ftom 1883 FARMERS NATIONAL BANK OF BUCKS COUNTY content themselves with buying a Detector about once a year, or begging an old one from salesmen visiting them. Even genuine notes were only at par in localities near the bank from which they were issued. Hon. Caleb N. Taylor, son of Anthony Taylor, who was one of the most faithful and energetic friends of the Bank, serving as Director and after- wards President, told the writer an incident demon^ strating the crude manner of banking under the old system. When a young man, Mr. Taylor did considerable business in buying cattle in the west, bringing them to his father's farm, at "Sunbury," in Bristol town- ship, and fattening them for market. He took with him all the western notes that the Bank had taken at a discount which in those days was often consider- able. On one occasion, he stopped at a farm house in the West to inquire as to the location of a bank that had issued some of the notes in his possession, and was informed by the farmer that he had reached the bank. After partaking of a bountiful country dinner, he and the farmer repaired to the kitchen where the farmer removed the lid from a barrel, took out what Eastern notes were required, giving them to Mr. Taylor at the current rate of discount and redeeming the notes of the "kitchen" bank at par. 39 FARMERS NATIONAL BANK OF BUCKS COUNTY Many exchanges of this kind were made by drovers and business men in all sections of the country, resulting in profits ranging from ten to forty and fifty per cent, according to the locality, and they were really the foundation of the fortunes of the Drexel firm and others who conducted the business system- atically through their correspondents in those old "wild cat" days of banking, when no one knew whether the bank that had issued the note that he had in his pocketbook would be solvent at the time that it was required to make a purchase or to discharge a debt. Under the State Bank System it was the custom of the Board to appoint a committee to burn the circulating notes that had been redeemed. This was done in the open fire place in the Directors' room, and on one occasion the heat from the blazing logs forced some of the notes up the chimney while only partially destroyed. Many of these were found on the roof a few days afterward by tinmen engaged in repairing. Those that still showed enough of the printing to be avail- able for redemption were carefully gathered up, and for several days the officers received and redeemed hundreds of dollars of notes that were claimed to have been "accidentally" burned in different persons' houses or shops. On entering these notes in the Register after redemption it was found that the numbers and dates 40 wS p M ?^ en td S > 2 Z £ 3 "2. O ni G. >. cn H H O r 2; o « fa w > w OS < .J W o o 5 p a u; z <: H W FARMERS NATIONAL BANK OF BUCKS COUNTY were identical with those that had previously been redeemed and supposed to have been destroyed. Upon an examination of the roof numbers of small fragments of notes were found and the fraud discovered, but the workmen's denial and the fact that they were financially irresponsible caused the affair to result in a total loss to the Bank. The Board, however, were far more careful in the future. IN THE NATIONAL BANKING SYSTEM At a stockholders' meeting held October 25, 1864, the Bank voted unanimously to convert the institution from a State Bank to a National Bank under the laws of the United States, and Articles of Association were therefore framed and adopted, December 13, 1864, the title of the Bank being changed to the " Farmers National Bank of Bucks County," and $100,000 in United States Bonds being deposited with the United States Treasurer at Washington for the security of its circulation. The condition of the bank on entering the National Banking System, October 25, 1864, was: Bills discounted 3193,928.63 United States Loans 213,866.29 Loan to Commonwealth of Penn'a 5,000.00 Real estate 8,061.17 Due from other banks 75,224.00 Internal Revenue Stamps 98.78 41 FARMERS NATIONAL BANK OF BUCKS COUNTY United States notes and specie 25,811.11 Protest a/c 3.87 3521,993.85 Capital 392,220.00 Profit and loss 41,672.75 State notes in circulation 165,436.00 Due to other banks 22,010.67 Depositors 200,654.43 3521,993.85 The incorporation of the Bank in the National Banking System in 1864 was for twenty years; re-chartered in 1884 and 1904. During the Civil War large amounts of both United States notes and National Bank Currency were lost or destroyed. One of the troop transports burned and sunk on the Mississippi River by the rebels had on board a paymaster's chest, filled with greenbacks and bank- notes for the soldiers' pay. Some years afterward this chest was recovered and taken to the Treasury Department at Washing- ton where it was found that the contents had been completely charred, but the careful fingers of the women employees separated the notes by placing gummed paper on the top note and gently lifting it from the mass, repeating the process with each note until they had saved almost the entire number. 42 THOMAS SCOTT Assistant Cashier from 1903 FARMERS NATIONAL BANK OF BUCKS COUNTY Among these were a number of the notes of this bank which were sent here by the Government for redemption and as the name of the bank and denomi- nations were somewhat in relief, the printing having charred more slowly than the other portions of the paper, they could be recognized by holding the note in a slanting direction from the eye, leaving no doubt as to the title of the bank and the denomination. Great care had been exercised in their shipment to the bank, each note being securely gummed to its support and enclosed in several layers of tissue paper to prevent disintegration while in transit. Robert C. Beatty, Cashier, having died in January, 1867, Charles T. Iredell was elected Cashier, and Horatio B. Beatty, Clerk. Charles E. Scott, was elected as Clerk and Bookkeeper on March 15, 1867, Edward Swain having resigned. On December 3, 1867, the Holmes system of Burglar Alarm was installed in the Banking House as an additional protection, and on January 24, 1868, Friday was discontinued as Discount Day, the dis- counts to be made weekly instead of semi-weekly as heretofore. Two gas lamps were ordered to be placed at diagonal corners of the building. Harry D. Young was elected Clerk January 23, 1872, to succeed Horatio B. Beatty, resigned. For the better protection of the borough against fire, an appropriation of $100 was made to the Bristol 43 FARMERS NATIONAL BANK OF BUCKS COUNTY Fire Company, No. i, on August 6, towards the pur- chase of a steam engine. Anthony Burton, President, having died sud- denly in December 1874, Caleb N. Taylor was elected President at the annual meeting held January 12, 1875. Owing to the illness of H. D.Young, Edwin M. Thomas was elected Clerk, November 9, 1875, continuing with the Bank until December 1876, during which time he performed his duties with fidelity. A set of new fire- and burglar-proof doors was ordered for the vault on August 28, 1877, and as the Cashier was residing in the Banking House, it was ordered that none but the officers residing outside of the Banking House should be acquainted with the combination. The vault was further secured by a time lock of a unique pattern, having no clock work or springs, being actuated by gravity. It consists of a cylindri- cal copper receptacle placed on a pivot on the inside of the iron door of the vault. The cylinder is divided into two chambers, in one of which there is alcohol hermetically sealed, separated by a diaphragm per- forated with a small hole, through which the alcohol flows drop by drop into the other half of the cylinder, there being a larger opening at the opposite extremity of the diaphragm to permit the fluid to be returned quickly to the other chamber when it has fulfilled 44 g o o Bi O H O W Pi o H O FARMERS NATIONAL BANK OF BUCKS COUNTY its mission and the cylinder is revolved bringing the other compartment into use as the reservoir. Half way around the circumference of the cylinder is a cam which engages with a stud bolt drilled into the bolt of the combination lock. When the bolt of the lock is thrown, the cam, which is graduated to represent hours elapsing, prevents the lock from being released until sufficient alcohol has reached the lower chamber to cause the cylinder to revolve sufficiently to allow the stud bolt to move back. Several threats of litigation have been made by the modern time lock manufacturers, but none have materialized, and the gravity lock still holds its place on the door of the storage vault in the basement, being considered more dependable than the time locks actuated by clock springs. On December i8, 1877, E. Oscar Thomas was elected Clerk to succeed Harry D. Young, deceased. Mr. Thomas resigned October 11, 1881, to enter into business in Philadelphia, and Horatio B. Beatty was elected in his stead, the Board passing resolutions commending Mr. Thomas for his fidelity and effi- ciency. Charles T. Iredell, Cashier, dying in June 1882, Charles E. Scott was elected to succeed him, and on January 30, 1883, the vacancy in the Clerkship was filled by the election of Benjamin T. Lovett. On July 7, 1885, Thomas Scott was employed temporarily to reconcile the individual ledger which 45 FARMERS NATIONAL BANK OF BUCKS COUNTY had been out of balance for some time. The work was completed in a few days, and upon being urged by the Board he accepted the position of additional clerk. On January 19, 1886, the Cashier was instructed to place $2,220 to the surplus fund, making that fund $92,220 equaling the amount of Capital Stock. The fact that the surplus now equaled the Capital was made the occasion for a jollification by the Board and officers. On November 15, 1887, Caleb N. Taylor, Presi- dent, departed this life, and in recognition of his valuable services, the Board directed the following resolution to be spread upon the minutes: "Resolved, That for a full half century past he has been in the Direction, the last twelve years as President, a period covering two-thirds of the corporate existence of the insti- tution, which has ever found in him a faithful and efficient friend and worker for its interests; and his devotion to those interests, with his integrity of purpose, courage, skill and ability in the performance of his duties, were among the marked characteristics of his life." The Board elected Benjamin J. Taylor to fill the vacancy in the Directorate, and Pierson Mitchell was chosen as President. On May 6, 1890, a motion was made by a mem- ber of the Board to consider the propriety of erecting a new bank building on the lot, or of remodeling the present building, in either case with the addition of ample vault security and space. 46 ISSUE OF 1815 Original Size 6 1-2x3 Inches FARMERS NATIONAL BANK OF BUCKS COUNTY Fortunately the better sense of the members prevailed, and the historic old building was spared. On December i6, 1890, the office of Vice-Presi- dent was created for the first time in the history of the Bank, and Benjamin J. Taylor was unanimously chosen for the position. On January 30, 1894, a donation of $50 was made to the Relief Fund of the Bofough to aid in alleviating the distress of the many inhabitants who had been deprived of work by the prevailing hard times. Pierson Mitchell, President, having departed this life on April i, 1894, appropriate resolutions were adopted by the Board, and Benjamin J. Taylor was unanimously elected President to fill the vacancy; Harvey H. Gillam being appointed as Director to fill the vacancy in the Board. The office of Assistant Cashier was created on April 28, 1903, and was filled by the election of Thomas Scott as Assistant Cashier. During 1904 the old vault, which had occupied considerable space in the Banking Room, was torn down, and a new vault erected in the rear of the building, two stories in height, with doors opening into the basement and the Banking Room, at a cost of $14,000, the work being done by the Remington Sherman Company of Philadelphia in a satisfactory manner. The outer walls are thirty inches of hard brick and cement, with an inner lining of steel, the 47 FARMERS NATIONAL BANK OF BUCKS COUNTY steel in the cash vault weighing 62 tons, and the lower vault being made impervious to moisture by a coating between the outer walls and the steel lining. Triple time locks and other improved appliances add to the security. Tiers of Safe Deposit Boxes for the use of the customers were provided and were readily rented. A contract was made with Henry Tiedemann, of Philadelphia, for complete new furniture, the counters, desks, doors and other woodwork of the best quality solid mahogany, with brass grille work for the counters and figured glass for the President's room and toilet. Fully a year was required for the alteration, the work of the Bank being performed in one of the second-story rooms on improvised desks and coun- ters while the ceiling of the Banking Room was replaced by one of steel and a new floor laid. The old vault was used until the new one was completed, when it was torn down and the space it had occupied made available for counters and desks. A vestibule, conforming to the architecture of the building, was designed by Mr. Tiedemann, and the front doors which had been in use since the building was erected, were replaced by two mahogany doors with glass panes and iron grilles. The greater portion of this expense was met by the profits of the year, without disturbing the usual 4S FARMERS NATIONAL BANK OF BUCKS COUNTY dividends of eight per cent, semi-annually, or sixteen per cent, per annum. During 1906 the Bank followed its usual course by donating $100 to the San Francisco Relief Fund, and as H. B. Beatty had become incapacitated through continued illness from attending to his duties as Clerk, he was retired upon a liberal pension, and Edward B. Betz assumed the duties. Adding machines and typewriters were intro- duced to aid in disposing of the largely-increasing business, and James F- Blanche was added to the force. During 1907, Edward B. Betz was granted six months' leave of absence on half pay on account of his having developed tuberculosis. He departed for Colorado in an endeavor to regain his health which, unfortunately he was unable to do. The Board passed resolutions commendatory of his faith- ful and intelligent performance of his duties. He was succeeded by Robert Clark, Jr. A Savings Department, in which depositors were allowed three per cent, per annum upon Savings Accounts, was instituted in August of this year, and was rapidly taken advantage of by the people of this town and outlying districts. Although so lately organized, this department now has 1507 depositors, with sums aggregating $735,058.22 at 3%. A loan of $38,000 being required by the School Board of Bristol Borough, for the erection of a new 49 FARMERS NATIONAL BANK OF BUCKS COUNTY school house, the Cashier was instructed on July 14, 1908, to bid for the entire loan or any part of it, but not to exceed ioo>^% in such loans. William H. H. Fine entered the Bank as addi- tional Clerk, April 12, 1910, and in November of that year the Board directed that the Clerks attend even- ing session at the Peirce Business College, of Phila- delphia, tuition and car-fare to be paid by the Bank until graduation. During 191 1 the Bank was designated as a depository for United States Postal Savings, but the people appearing to have full confidence in the then existing facilities for saving, this account has never been materially increased. On January 13, 1914, the Board decided to accept the provisions of the New Federal Reserve Act passed by Congress, as failure to do so would — under the law — necessitate the surrender of the National Bank Charter, and the matter being sub- mitted to the stockholders on the same day, at a meeting held pursuant to public notice, was approved, and the Cashier authorized to notify the Organization Committee of the intention to subscribe to the Capital Stock of the Federal Reserve Bank to be organized in this District. On November 2, 1914, the first instalment on the 218 shares required to be taken was called and paid in. SO ISSUE OF RELIEF NOTES OF 1840 to Sustain the Credit of the Conimonweallh [Reduced Size] FARMERS NATIONAL BANK OF BUCKS COUNTY TWO ATTEMPTS TO ROB BANK During the occupancy of the dwelling portion of the Bank by Benjamin Swain in 1845, he heard hammering on the stone wall of the building outside the vault, and as he always kept a heavy log of wood on the window sill above, he cautiously raised the sash and called, "I don't want to harm thee, friend, but I am about to drop this log on thee if thee don't go away." The log fell, but the would-be burglars had decarnped. The second attempt was made on a dark night during a gale, when a ladder was placed against the window sill over the front door, and an endeavor made to enter the second story through the window, but Mr. Iredell, who lived in the Bank at that time, heard the noise and entered the upper hall with a lamp in his hand, frightening the parties off. DIVIDENDS The dividends to stockholders have been, from May 1816 to 1821 4% semi-annually. May 1821 dividend of 3%, 1822, 2%; from 1822 to 1826 but one dividend was declared. Owing to "the real distress of the people" and the singularly disordered state of the currency, it was difficult for those in debt to comply with their ordinary engagements. 51 FARMERS NATIONAL BANK OF BUCKS COUNTY The Legislature, moved by the general suffering, interposed to prevent the sacrifice of property of the debtors. Dividend in 1827-1828-1829 were at the rate of 3% per annum. Semi-annual dividends were resum- ed in 183 1 at the rate of 8% per annum, continuing until 1836, when 10% per annum was paid until 1837, when the most disastrous panic that the country had ever known was witnessed, engendered largely by the wild speculations which were wide- spread for some years immediately preceding the panic. On May 10, the New York banks suspended specie payments, which example was followed the next day by the Philadelphia banks. This suspension continued over a year, but this Bank continued to redeem such of its notes as were presented at the counter, in gold and silver as heretofore. Dividends of eight per cent, per annum were resumed from May 1838 to May 1840, when the rate declined to six per cent.; five per cent, being paid during 1841 and 1842; four per cent, during 1843, 1844 and 1845, with six per cent, from thence until 1852, when eight per cent, was paid until 1855, ten per cent being maintained during that year and until November 1857, when the rate was reduced to eight per cent, remaining thus ^ntil 1863, when ten per cent, was again paid. The bank had loaned liberally to the Govern- ment during the Civil War, and the high rate of 52 FARMERS NATIONAL BANK OF BUCKS COUNTY interest, together with the premium on gold, enabled it to declare twelve per cent in 1865 ; fifteen per cent, in 1866, and sixteen per cent, thereafter until 1875, when the rate was reduced to fourteen per cent, and from 1876 to 1882 to twelve per cent., owing to the lowering of the interest paid by the Government and other causes. During 1882 thirteen per cent, per annum was paid, and from that time until the present, a period ot thirty-two years, sixteen per cent, per annum has been maintained, and the Surplus Fund has been increased from $75,000, in 1882, to $270,000 in 1914. Eighty dividends paid during fifty years as State Bank, aggregated ?238,S9S.9S One hundred dividends paid during fifty years as National Bank, aggregated 707,327.40 Total dividends paid ?94S,923.35 Upon the Roll of Honor for 1914 the Bank stands as Number 69 among the 7,500 National Banks of the United States in point of strength as gauged by surplus and profits in excess of capital. Truly an enviable position. 53 FARMERS NATIONAL BANK OF BUCKS COUNTY STATEMENT OF THE FARMERS NATIONAL BANK OF BUCKS COUNTY, BRISTOL, PENNSYLVANIA, AT THE CLOSE OF BUSINESS, DECEMBER 22, 1914 Investments ?l,3S2,30S.ll United States Bonds 40,000.00 Bonds for Postal Savings ac 7,000.00 First Instalment of Stock in Federal Re- serve Bank, U. S 3,633.33 Banking House, nominal 5,000.00 Due from other Banks 2,102.86 Due from Reserve Agents 77,521.50 Federal Reserve Bank 23,682.98 ■ Cash 98,570.02 31,609,815.80 Capital $ 92,220.00 Surplus Fund, earned 270,000.00 Undivided Profits, net 53,131.55 Circulation 36,900.00 Due to other Banks 21,927.84 Individual Deposits 1,132,481.19 Postal Savings Deposits 3,155.22 31,609,815.80 Dividend periods first Tuesday in May and November. 54 ■