Bank of Pennsylvania
| Company type | Bank |
|---|---|
| Industry | Banking and finance |
| Founded | 1780 (Revolutionary bank), 1793 (Chartered bank) |
| Fate | Revolutionary bank ceased operations by 1784; Chartered bank failed in September 1857 |
Area served | Pennsylvania, United States |
Key people | Thomas Paine (proposal), Robert Morris, Alexander Hamilton, Thomas Allibone (chartered bank leader) |
The Bank of Pennsylvania, also known as the Pennsylvania Bank, pertains to two separate entities: one formed during the American Revolutionary War and another institution chartered by the state in 1793.
Revolutionary bank
The initial Bank of Pennsylvania was established on July 17, 1780, inspired by a proposal from Thomas Paine to finance supplies for the Continental Army. Local citizens committed both state and continental funds, accumulating £315,000 in depreciated currency. The founders suggested using these resources to equip the army, with the condition that Congress would repay them with interest. Congress consented, guaranteeing reimbursement through bills drawn on foreign representatives. Both Robert Morris and Alexander Hamilton later clarified that this entity functioned more as a government procurement agency than a conventional bank. It played a crucial role following the Siege of Charleston, remained active for roughly 18 months, and gradually ceased operations by 1784 after the emergence of the Bank of North America.
Chartered bank
In 1793, the Commonwealth of Pennsylvania granted a charter to a new Bank of Pennsylvania, which expanded its presence with branches in Pittsburgh, Harrisburg, Lancaster, Reading, and Easton. This bank ultimately failed in September 1857 while under the leadership of Thomas Allibone from Thomas Allibone & Co.
A solitary stone column from the bank's original headquarters was moved in 1870 to Adrian, Michigan, where it now serves as a Civil War Memorial commemorating 84 local soldiers who lost their lives during the American Civil War.