Early Bank Notes Reveal a History of Our Country

QUESTION: My dad collected old currency and coins. Some of the currency is quite old and doesn’t look anything like today’s money. What can you tell me about this bill? And why is it so different from the currency we use today?

ANSWER: American banknotes have not always been green. In the mid-19th century, banknotes contained a rainbow of colors. By examining these paper artifacts, Collectors can take a tour of America circa 1800.

Prior to the Civil War. the U.S. government didn't regularly issue paper money. But people still needed to use some form of currency, so banks issued their own paper money—bank notes.



Many types of notes circulated during this era, known as the golden age of U.S. currency, which generally began in the late 18th century and lasted until the Civil War. The most common type of note, the "demand note," entitled the bearer to a certain monetary amount. Individuals would deposit something of value in the bank (usually herd current stock), and the bank would issue to the individual on-demand notes that he or she could use as a vehicle of exchange to purchase items from a merchant who could then redeem the note with the bank, that "on demand" would exchange the bank for gold or silver coins issued by the federal government.



A bank's capital, which often appears on the banknote, (capital $1,000,000), guaranteed the value of these notes, and for this reason, two officials often signed each note to ensure that a greater amount in banknotes was nut issued than the bank could cover. Private hanks and public banks, which obtained a charter to operate, and savings banks, which operated under a different set of rules, all issued the demand note. Some demand noted contained a space in which a bank official wrote a payee's name and thus allowed a bank to specify the identity of the hearer, who would endorse the note by signing its often blank reverse as one would endorse a modern cheek. Other types of notes circulated as well. Post notes worked like bonds and were redeemable only after a predetermined time noted on the bill (e.g. "redeemable after six months").



Private merchants also issued notes, sometimes referred to as scrip, which they used to pay employees. Some laborers were paid only in scrip, which was generally redeemable only at company 'stores. This often led to the economic enslavement of laborers who "owed their soul to the company store." Railroads, shipping lines and many other type, of merchants issued notes to their employees.

While the bank note system worked, poor or dubious business practices threatened the integrity of the private and state banking system that ran amok in the first half of the 19th century.

Most of the time, banks were honest. But stories of fraud were rampant. banks that issued more money than their capital guaranteed and banks with a phantom capital, or no money to guarantee their notes.

This led to the distrust of unfamiliar hanks, and as a result, the notes did not work well for inter-state banking. A merchant in one state wouldn’t honor a bank note from an unfamiliar bank in another.

With so many different bank notes circulating, the proliferation of fakes or counterfeit notes was inevitable. The sheer number of issuers and varieties of notes issued—more  than 1,600 banks in 34 states collectively issued more than 10,000 varieties—provided the hungry counterfeiter with a virtual smorgasbord.

The word counterfeit refers to an illegally replicated note. Some genuine notes had their denominations altered; consequently, the alteration raised the value of the note, hence the name "raised note." A variation on this theme, the "altered" note also appeared. An altered note was a genuine note altered to look like another bank's product. The more artistically inclined produced original designs and added a legitimate hank's name on the notes, thus creating a spurious note.

In fact, so many counterfeit notes circulated—some 55.000 varieties—that bank officials began to stamp or handwrote the word “counterfeit” across the surface of the note.

During the Civil War, the U.S.Congress took action to end private issuance of banknotes. Congress passed legislation that forbade the private issuance of currency, and the federal government began issuing its own notes. Banks could still issue currency bearing their own name, but to do so, they needed to obtain a charter from the federal government, which entitled them to issue notes, known as National Bank Notes, supplied by the federal government.



The new notes led to the modern association of money with the color green. This relative lack of variety could make the counterfeiter's job much harder, though, and the number of attempted counterfeits dwindled.



The most interesting aspect of obsolete banknotes is the detailed and often colorful vignettes they contain, which collectively offer a lithographic history of American culture. Each bank note told a story. A $1 note from The Merchants and Planters Bank f Savannah. Ga., for examplel, contained the image of a covered wagon. When the note was issued in the 1830s, the covered wagon would have been the preeminent mode of transportation taken by settlers traveling to the Western territories.



Scrip from the Delaware Mine on Michigan's Upper Peninsula features the image or a copper finer wielding a pickax. A $5 note from the. Bank of the Commonwealth in Richmond, 'a., contain, the image of planters standing next to the barrel of tobacco—one of the crops that drove Virginia's economy in the antebellum era. Moments frozen in time, dense images offer the closest thing possible to a photograph of 19th century life.

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Behind the Eight Ball

QUESTION: When I was a teen, I used to spend my afternoons after school at the local Boys Club playing basketball and pool. In fact, I got pretty good at pool over the years. Now that I’m older, I’ve gotten back into pool. Only today, they call it billiards. I also like to collect things. Is there such a thing as billiards memorabilia?

ANSWER: Actually, there is, but the market for billiard-related items is pretty steep. But let’s take a look back at how this game began.

Billiards began as a lawn game similar to the croquet played sometime during the 15th century in France.

During the reign of Queen Elizabeth I of England, the game had moved indoors to a wooden table with green cloth to simulate grass and a simple border around the edges. The term "billiard" came from the French for either the word "billart," one of the wooden sticks, or "bille," a ball. Since the early 19th century, it has been known as the "Noble Game of Billiards," but in fact all sorts of people played the game from its beginning. In 1600, Shakespeare mentioned it in his play "Antony and Cleopatra."

When players brought the game indoors, players shoved the balls rather than struck them with wooden sticks called maces. The cue stick didn’t appear until the late 17th century. When the ball lay near a rail, the mace didn’t work because of its large head. Players then would turn the mace around and use the end of its handle to strike the ball. The handle was called a "queue" meaning "tail" from which came the word "cue." For a long time only men were allowed to use the cue. Women had to use only the mace because people felt they were more likely to rip the cloth with the sharper cue.

At some point, a player used chalk to increase friction between the billiard ball and the cue stick. Performance improved dramatically, There are four distinct shapes in various colors---square, round, triangular and wafer. The square variety is by far the most common. The  earliest chalk was white, but the majority today is green or aqua to match the felt on the tables.



Early cues typically varied in length between 54 and 57 inches for pool, and between 60 inches and longer for billiards. The finer cues were normally four times more expensive than the common "house cue," reaching as high as $13 for a tournament-trophy quality model. Around the turn of the 18th century, the leather cue tip appeared. This allowed a player to apply side-spin, topspin, or even backspin to the ball. All billiard/pool cues used to be one single shaft until the two-piece cue arrived in 1829.

Billiard/pool tables originally had flat walls for rails. Their only function was to keep the balls from falling off the table. Players originally called them "banks" because they resembled the banks of a river. They soon discovered that the balls could bounce off the rails and began deliberately aiming at them, and thus the "bank shot" was born. This is where the billiard ball is hit toward the rail with the intention for it to rebound as part of the shot.

Wood made up the bed of a billiard table until around 1835, when slate became popular due to its durability for play and the fact that it wouldn't warp over time.  As for the size of billiard tables, a two-to-one ratio of length to width became standard in the 18th century. Before then, there were no fixed table dimensions. By 1850, the billiard table had essentially evolved into its current form.



The game of billiards has had many variants. Players referred to a table without pockets as a "billiard table," while those with pockets were called "pocket billiard" tables. The term "carom table" was used in the early days of the sport to denote a billiard table without pockets. To carom meant to strike two balls at the same time with the white cue ball.

The sizes of billiard balls ranged from one inch for children's tables, to 2½ inches in pocket billiard balls, to as large as 2 3/4 inches in the carom variety. The most common material used was clay. And although manufacturers tried many other concoctions, they eventually settled on some type of composition resembling clay. Celluloid balls first appeared   in the late 1800s and proved to be the best substitute for ivory available at the time. While the makers of clay balls claimed that the celluloid balls occasionally exploded upon contact, this wasn’t true. What they did do was shatter during cold weather when left overnight in poorly heated pool rooms.

Though clay, ivory, and numbered balls were available for over 150 years, and the basic appearance of early billiard cues stood unchanged for much longer than that. Of the more than 150 independent billiard table manufacturers from the early to late 19th century, only a handful were in business for more than a few years. Many combined forces to improve sales and often bought out competitors.

And though the term "pool room" now means a place where people play pool, it had a very different meaning in the 19th century. Back then a pool room was a betting parlor for horse racing. Owners installed pool tables so patrons could pass time between races.

By the 19th century,  ballrooms of the wealthy featured highly carved and/or inlaid, exotic billiard tables. But, it wasn't just the well-to-do who played. For more than a century, even small towns had a pool hall. Businessmen and politicians transacted many deals around pool tables. Gambling also occurred, which is where the term “pool hall” originated. The most common place in town for placing bets or taking chances on a “pool” was the billiard parlor, and these smoky establishments soon became known as “pool halls."



Unfortunately, "pool halls" began to get a bad name and this reputation slowly dimmed the lights on the honorable game of billiards. Hundreds of them began to falter and close across the country in the 1930s and 1940s. Many politicians were advocating the closure of billiard rooms in an attempt to "clean up their communities" as part of their campaign platforms, all the while playing billiards in the homes of their upper-class constituents.




While the memorabilia from this field is amazingly diverse, finding early items isn't easy. It takes persistence, great patience and sometimes deep pockets to put together a collection.

To read more articles on antiques, please visit the Antiques Article section of my Web site.  And to stay up to the minute on antiques and collectibles, please join the other 18,000 readers by following my free online magazine, #TheAntiquesAlmanac. Learn more about western antiques in the special 2019 Spring Edition, "Down to the Sea in Ships," online now. And to read daily posts about unique objects from the past and their histories, like the #Antiques & More Collection on Facebook.  

Saving With Uncle Sam

QUESTION: When I was a child, my father gave me an cast iron Uncle Sam bank for Christmas. I recently purchased a similar one at an antique show. It stands 10 ½ inches tall and weighs about 7 pounds.  I’m not sure if it’s authentic. How can I tell if it is and what can you tell me about the history of my bank?

ANSWER: In all likelihood, the bank you bought at that antique show is a reproduction which probably dates from the early 20th century.

Peter Adams Jr. and Charles G. Shepard created the first Uncle Sam bank. But it was the Shepard Hardware Company of Buffalo, New York that produced the first one in 1886. This particular cast-iron mechanical bank features an umbrella-carrying Uncle Sam standing on a decorated base holding a suitcase. By placing a coin in his hand and pressing the knob on the box, Uncle Sam lowers his arm and puts the money into the U.S Treasury bag. The beard on his lower jaw moves as if he’s talking.

At the time it appeared on the market, the bank showed Uncle Sam, who represented the U.S. Government, taking citizens' money.

So who was Uncle Sam? The first use of the moniker “Uncle Sam” supposedly appeared during the War of 1812 in reference to Samuel Wilson, who was a meat packer who inspected meat  destined for the troops. People called him Uncle Sam, and he just so happened to have the same initials as the new country.

Toy banks became popular in the United States during the 18th century after hard currency went into circulation. But it wasn’t until the early part of the 19th century that the first chartered savings bank in New York City opened its doors. Being thrifty soon became a popular trend, and people began using toy banks as a way to follow the encouraging words of Benjamin Franklin—“A penny saved is a penny earned.”

Your bank was possibly cast from an historic mold made by Shepard. If Uncle Sam’s beard moves as the coin in his spring-loaded hand drops into the U.S. Treasury bag at his feet, then your bank is authentic.

Many reproductions have been made since the first Uncle Sam bank. Those produced in the 1920s may still hold considerable value, but never as much as the original. The most recent large scale production of these banks occurred during the U.S. Bicentennial celebration in 1976. But manufacturers cut corners and didn’t make these banks from real cast iron, choosing to use a lighter, cheaper metal instead. These cheap knockoffs also had more details than the originals. While some look similar to the originals, most can be spotted by the addition of embellishments and added details.

If your bank is heavy, it’s probably an early reproduction. Also, if the paint is really bright, it most likely is a later reproduction. Some people have repainted originals, but this is a mistake and ruins their value. Some reproductions also have incorrect colors. The correct colors should be a blue full dress coat with red and white striped pants. On the bottom of the base should be the words, "PAT. JUNE 8, 1886". Most reproductions show the mark, “Made in Korea” or “Made in China.” But some reproductions only have an eagle and banners on one side. On the original they appear on both sides. The beard moves on the originals but doesn’t move on many reproductions. A modern reproduction, made in Taiwan, sells for only about $15 to $25.

The value of these banks is always dependent on their condition, but many of the originals have little paint left on them. In good working condition and with all of its original paint, an 1886 bank could be worth between $1,000 and as much $18,000.