Lititz National Bank, Lititz, PA (Charter 2452)

Needed: a contemporary postcard or photo of the bank.

Lititz National Bank, Lititz, PA (Chartered 1880 - Receivership 1909)

Town History

Lititz is a borough in Lancaster County, Pennsylvania, located 9 miles north of the city of Lancaster. As of the 2020 census, it had a population of 9,370.

Lititz was founded by members of the Moravian Church in 1756 and was named after a castle in Bohemia near the village of Kunvald where the ancient Bohemian Brethren's Church had been founded in 1457. The roots of the Moravian Brethren's Church date back to the ancient Bohemian Brethren's Church. It was one of the four leading Moravian communities in the Northeastern United States (three others were Bethlehem, Emmaus and Nazareth, each in Pennsylvania).

For a century, only Moravians were permitted to live in Lititz. Until the middle of the 19th century, only members of the congregation could own houses; others were required to lease. The lease system was abolished in 1855, just five years before the beginning of the Civil War.

During a part of the American Revolution, the Brethren's House, built in 1759, was used as a hospital. A number of soldiers died and were buried here. Lititz is also home to Linden Hall School, the oldest all-girls boarding school in the United States. Located adjacent to the Moravian Church on 47 acres of land, Linden Hall School was founded by the Moravians in 1746, a decade before the borough was incorporated.

Lititz had three National Banks chartered during the Bank Note Era, The Lititz National Bank (Charter 2452), The Farmers National Bank (Charter 5773), and The Lititz Springs National Bank (Charter 9422). All three of those banks issued National Bank Notes.

Bank History

Organized December 17, 1879
Chartered February 2, 1880
Succeeded Deposit Bank
Receivership April 19, 1909

The Lititz National Bank was organized in 1879, succeeding the Lititz Deposit Bank. In February 1880, the directors of the Lititz National Bank purchased a lot on Main Street adjoining the residence of H.H. Tshudy from Mrs. Matilda Eby at a cost of $1,110 where they planned to build a banking house.

On Monday March 1, 1880, the new Lititz National Bank went fully into operation while the Lititz Deposit Bank became an institution of the past. In April 1880, Messrs. Seaber & Grube, carpenters and builders, were awarded the contract for the erection of the Lititz National Bank building. Their bid was $2,787 with two other bids placed. The builders were directed to finish by September 1st.

On Tuesday, January 18, 1881, at a meeting of the stockholders, the following board of directors was elected: John B. Erb, John Evans, William Evans, Henry E. Miller, A.W. Shober, Jacob G. Keller, Henry G. Snyder, Samuel Erb and Israel Zartman.

On Monday, January 18, 1886, the directors organized by elected John B. Erb, president; William Evans, vice president; A.W. Shober, secretary; N.S. Wolle, cashier and H. Beckler, clerk.

On Monday, March 9, 1891, Mr. T.R. Kreider of East Lampeter Twp. was appointed teller of the Lititz National Bank. Mr. Kreider planned to move to Lititz on April 1st, but would commence work the following Monday.

In January 1894, the directors organized by re-electing the old officers, namely: John B. Erb, president; Israel G. Erb, vice president; and A.W. Shober, secretary.

In January 1901, the bank organized by electing I.G. Erb, president; Henry R. Erb, vice president; A.W. Shober, secretary; H.B. Beckler, cashier; T.R. Kreider, assistant cashier; Mrs. H.B. Beckler, clerk.

On Tuesday, January 12, 1909, the stockholders re-elected all the old directors as follows: Israel G. Erb, Henry R. Erb, A.R. Bomberger, Dr. J.H. Shenk, Elmer Eby, P.B. Kofroth, A.B. Long, M.S. Hess, H. Reist Landis. The directors organized by electing Israel G. Erb, president; Henry R. Erb, vice president; A.R. Bomberger, secretary; Paris F. Snyder, cashier; Dillman Bomberger, teller and Paul Bomberger, clerk. Paris Snyder of Marietta succeeded T.R. Kreider as cashier, the latter having resigned.

On April 19, 1909, the Lititz National Bank did not open for business. A placard on the doors stated "Closed by resolution of the directors." There had been a quiet, but steady run on the bank for several weeks. Rumors of all sorts were in circulation. It was said that several of the bank directors were interested in the Wellington Starch Company, a borrower of the bank. The last report of the condition of the bank was published on February 19th, showing loans, discounts and investments $261,784.26, U.S. Bonds covering circulation $40,000, Bonds, securities, etc., $86,910.00 and total resources of $457,794.51. The bank had capital stock of $105,000, surplus of $21,000, undivided profits $8,776.59, deposits $125,411.55 and Time certificates $108,661.15.

United States Bank Examiner Miller Weir had closed the Lititz National Bank, the borough's oldest banking institution. The bank's counsel admitted that much of the bank's troubles were due to heavy loans made to the Wellington Starch Company, a Lititz concern which had recently branched out very extensively. Other enterprises started in the borough had also tied up considerable sums. The previous Fall, the bank was compelled to charge off $36,000 of paper, largely reducing the surplus. While about $30,000 was realized on this paper, the bank was further directed to charge off an amount which wiped out the surplus and impaired the capital. As the directors were unable to comply with the bank examiner's demands, the institution's doors were closed. Bank Examiner Weir who ordered the bank closed was appointed by the Comptroller of the Currency as the temporary receiver of the bank.

On Tuesday, April 20, 1909, George C. Ball was appointed permanent receiver of the suspended Lititz National Bank. He had been the receiver of the Coal Belt National Bank of Benton, Illinois.

On June 1, 1909, the new Lititz Springs National Bank opened for business in the old bank building and the amount of business augured well for the future success of the organization. The working force consisted of P.F. Snyder, Marietta, cashier; C.B. Seigle, Mountville, teller; and Paul H. Bomberger, Lititz, clerk. The first depositor was George C. Ball, receiver of the old bank; the second was D.M. Graybill, the president; and the third Henry G. Snyder. The first check was drawn by J.C. Rhode, the broom-maker.

Official Bank Title(s)

1: The Lititz National Bank, Lititz, PA

Bank Note Types Issued

The bottom half of the proof sheet showing the 1875 $10 and $20, approved February 16, 1880. Courtesy of the Smithsonian Institution Archives

A total of $452,260 in National Bank Notes was issued by this bank between 1880 and 1909. This consisted of a total of 44,756 notes (44,756 large size and No small size notes).

This bank issued the following Types and Denominations of bank notes:

Series/Type	Sheet/Denoms	Serial#s	Sheet Comments
Series 1875	3x10-20	1 - 4385
1882 Brown Back	4x5	1 - 3550
1882 Brown Back	3x10-20	1 - 3231
1882 Date Back	4x5	1 - 23

Bank Presidents and Cashiers

Bank Presidents and Cashiers during the National Bank Note Era (1880 - 1909):

Presidents:

Cashiers:

Other Bank Note Signers

There are currently no known Vice President or Assistant Cashier bank note signers for this bank.

Wiki Links

Sources

Lititz, PA, Wikipedia, https://en.wikipedia.org/wiki/Lititz,_Pennsylvania
Don C. Kelly, National Bank Notes, A Guide with Prices. 6th Edition (Oxford, OH: The Paper Money Institute, 2008).
Dean Oakes and John Hickman, Standard Catalog of National Bank Notes. 2nd Edition (Iola, WI: Krause Publications, 1990).
Banks & Bankers Historical Database (1782-1935), https://spmc.org/bank-note-history-project
The Semi-Weekly New Era, Lancaster, PA, Sat., Feb. 21, 1880.
Intelligencer Journal, Lancaster, PA, Fri., Mar 5, 1880.
The Lancaster Examiner, Lancaster, PA, Wed., Apr. 21, 1880.
Lancaster Daily Intelligencer, Lancaster, PA, Fri., July 30, 1880.
Intelligencer Journal, Lancaster, PA, Mon., Oct. 25, 1880.
The Lancaster Examiner, Lancaster, PA, Wed., Jan. 19, 1881.
The Lititz Express, Lititz, PA, Fri., Jan. 22, 1886.
The Inquirer, Lancaster, PA, Sat., Mar. 14, 1891.
The Semi-Weekly New Era, Lancaster, PA, Sat., Jan. 20, 1894.
The Lititz Express, Lititz, PA, Fri., Jan. 18, 1901.
The Lititz Express, Lititz, PA, Fri., Jan. 15, 1909.
Intelligencer Journal, Lancaster, PA, Fri., Jan. 15, 1909.
The News-Journal, Lancaster, PA, Wed., Jan. 20, 1909.
Intelligencer Journal, Lancaster, PA, Mon., Apr. 19, 1909.
Lancaster New Era, Lancaster, PA, Mon., Apr. 19, 1909.
Lancaster New Era, Lancaster, PA, Tue., Feb. 9, 1909.
The Semi-Weekly New Era, Lancaster, PA, Sat., Apr. 24, 1909.
Intelligencer Journal, Lancaster, PA, Thu., June 3, 1909.