about 2nd national bank and jacksons views on it?

Question

Andrew Jackson wanted to get rid of the ONE bank thing and make a bunch of banks.
~Is this correct?
~What was good about his ideas on the 2nd national bank?
~If im correct, he vetoed the national bank and made it into the seperate banks.
~Is that what we have today?

Thanks

Answer 1

-Yes, it is correct. He was afraid of a banking monopoly
-He wanted to abolosh the second national bank, so in his tenure as president, he vetoed the renewal of its charter mostly because it put too much power in a single institution
-He did veto the charter as the national bank, but the bank wasn't seperated, it just returned to being a normal bank in Philly, which became bankrupt five years later. What he did do was spread the federal reserve amung many banks which led to heavy expansion of credit and speculation. A lack of hard money (gold and silver, not paper dollars and reserve notes) caused many of banks to shut down in the recession of the economy caused by the Panic of 1837.
-No, this is not what we have today. We currently run under the federal reserve system, which is essentially a corporation of banks with 12 districts in the United States.

Answer 2

Andrew Jackson Kills the Bank (1828-36)
People began to see how much power the Bank really had, and the voter backlash led to the election of Andrew Jackson as President in 1828. His slogan was: "Let the people rule." Jackson maintained: "If Congress has the right under the Constitution to issue paper money, it was given them to be used by themselves, not to be delegated to individuals or to corporations." Jackson said that the control of a central bank "would be exercised by a few over the political conduct of the many by first acquiring that control over the labor and earnings of the great body of people."

During the 1828 presidential campaign, Jackson said in an address before a group of bankers: "You are a den of vipers. I intend to rout you out and by the Eternal God I will rout you out." He went on to say: "If the people only understood the rank injustice of our Money and Banking system, there would be a revolution before morning." Jackson said that if such a Bank would continue to control "our currency, receiving our public monies, and holding thousands of our citizens in dependence, it would be more formidable and dangerous than the naval and military power of the enemy..."

After fiscal mismanagement by its first President, former Secretary of the Navy, Captain William Jones, the Bank was forced to call in loans and foreclosed on mortgages which caused bankruptcy, a price collapse, unemployment and a depression. However, the Bank began to flourish under its new President, financier Nicholas Biddle (1786-1844), who petitioned the Congress for a renewal of the Bank's Charter in 1832 four years before its current charter expired. The Bill for the new Charter passed the Senate 28-20 and the House 107-85, and everyone knew how Jackson felt. Biddle threatened: "Should Jackson veto it, I shall veto him!"

Jackson did veto the Charter, and abolished the Bank in 1832. He ordered the Secretary of the Treasury to remove all Government deposits from U.S. Banks and deposit them in state banks. On January 8, 1835, Jackson paid off the final installment on our national debt and it was the only time in history that our national debt was reduced to zero and we were able to accumulate a surplus, $35 million of which was distributed to the States. Nicholas P. Trist, the President's personal secretary, said: "This is the crowning glory of A.J.'s life and the most important service he has ever rendered his country." The Boston Post compared it to Christ throwing the money-changers out of the Temple.

James K. Polk, the Speaker of the House (who later became the 11th President in 1845) said: "The Bank of the United States has set itself up as a great irresponsible rival power of the government." The Bank continued to operate until 1836 and it was used by Nicholas Biddle to wreak havoc upon the economy by reducing loans and increasing the quantity of money.

Jackson became the first President of the United States to be censured which was done in March, 1834 "for removing the government's deposits from the Bank of the United States without the express authorization of the United States Congress." It is quite obvious that he did it because of the "abuses and corruptions" of the Bank and the censure was later reversed by the Senate in 1837. The Bankers continued their attempts to revive the Bank; President John Tyler vetoed two bills in 1841 that would have rechartered the Bank of the United States.

atp