History of Money in the US

  • Continental Currency

    Continental Currency
    American Colonists issued paper currency for the Continental Congress to finance the Revolutionary War. The notes were backed by the anticipation of the tax revenues. The solid backing was easily counterfeited the notes were devalued.
  • Savings bank

    Savings bank
    In the US they had saving banks so a depositor-owned financial organization operated only for the benefit of its depositers. Many people who had a savings bank would end up selling stock to raise financial capital. Then they ended up becoming all saving banks because they weren't mutually owned by the depositors.
  • Greenbacks

    Notes were replaced by the US notes. It was called the Greenbacks because the green tint introduced discourage photographic counterfeiting, they were issued in 1971. The treasury was empowered by Congress to have notes printed by the private bank note.
  • Banking System

    Banking System
    The federal government strengthened the financial system by passing the National Banking Act. Set up as a system of nationally chartered and inspected banks.
  • Gold Certificate

    Gold Certificate
    It was issued by Department of the Treasury against the gold coin. The paper currency backed by gold placed on deposit with the US Treasury. They were first printed in big denominations for banks to use when settling differences with eachother at the end of business days.
  • Federal Reserve System

    Federal Reserve System
    The Congress created the FED as the nation's first central bank. It is a bank that can lend to other banks in time sof need. All of the national banks are required and all the state chartered banks that were eligible to become members.
  • Federal Deposit Insurance

    Federal Deposit Insurance
    When banks were failing during the Depression they lost almost all their savings so the banking act was passed to strengthen the banking undustry. It also created the Federal Deposit Insurance Corporation to insure the customners deposits in the event of a bank failure.
  • Stability

    Then caution became the watchword because the thrift crisis was largely over and the surviving financial institutions adopted lending policies that helped them return profitability.