Home / Full timeline / Freedman’s Bank is chartered by the U.S. government to provide financial help to newly freed Blacks. The bank is plagued with incompetencies and fails. Many Blacks lose their savings.
Freedman’s Bank is chartered by the U.S. government to provide financial help to newly freed Blacks. The bank is plagued with incompetencies and fails. Many Blacks lose their savings.
1865 (Mar 3)
The U.S. government chartered the Freedmen's Bank in Washington, D.C., to encourage financial responsibility among the formerly enslaved Blacks. On April 4, 1865, the headquarters of the Freedmen's Bank opened in New York. Shortly thereafter, branches were established in Louisville, Nashville, New Orleans, Vicksburg, and Washington. By 1872, there were thirty-four branches, all but two of which were located in the south. Incompetency and inefficiency in the bank's operation appeared almost immediately. By the time Frederick Douglass became president in March 1874, the bank was already a failure. It closed on June 28, 1874.
References:
- • Hornsby, Alton. Chronology of African-American History: Significant Events and People from 1619 to the Present. Detroit: Gale Research, 1995.