The First National Bank of Chicago

On July 1, 1863, banker Edmund Aiken and his partners invested $100,000 to found a new federally chartered bank under the guidelines established by new federal banking legislation. Capitalizing on a February 1863 law that permitted the formation of national banks, The First National of Chicago, operating under Charter #8 from the comptroller to the currency, opened its door on July 1, 1863, the day on which the Battle Gettysburg commenced.

By 1876, First National ranked as the city's largest bank; it (and its descendants) would continue to be either Chicago's biggest or second biggest bank through the end of the twentieth century.

From the era of the Civil War when Chicago was the central hub of rail traffic in America until its merger with NBD Corporation, the First National Bank of Chicago rightfully claimed to be Chicago’s bank.

In 1919, The First National Bank of Chicago created an affiliate, First National Investment Co., which invested in second mortgages and operated a travel agency. In 1969, when First National moved into a new skyscraper in Chicago's loop, it became part of the First Chicago Corp., a holding company for the bank. Among Midwestern banks, The First National Bank of Chicago was perhaps the most active internationally, establishing offices in 25 countries by 1973.
The First National Bank of Chicago

J.P Morgan and Company

Drexel, Morgan & Co. was established in 1871 and in 1895 it helped finance the Federal Reserved during the depression of that year. The new merchant banking partnership served initially as an agent for Europeans investing in the United States, ultimately raising much of the capital to support American industrial expansion.

In 1895 it was renamed J.P Morgan & Co., under the leadership of J. Pierpont Morgan, who helped finance the career of Andrew Carnegie and merged as one of the biggest and most powerful banking institutions on Wall Street.

When gold reserves fell in 1894, J. Pierpont Morgan formed a syndicate to save the gold standard for the U.S. government and, through his influence, played a central role during the 1907 financial panic, saving several trust companies and a leading brokerage house, bailing out the City of New York and rescuing the New York Stock Exchange.

As part of New Deal reforms instituted in 1933 during the Franklin Roosevelt administration, the US government separated commercial and investment banking services. As a result in September 1935 JP Morgan & Co was divided into two firms: commercial banking operations were house under Morgan, while a new company, Morgan Stanley assume control of investment banking operations.

In 1999, J.P Morgan & Co merged with the Chase Manhattan Bank to become JP Morgan Chase.

J.P Morgan and Company

Travelers Cheque by American Express

Travelers Cheques were first issued on 1 January 1772 by the London Credit Exchange Company for use in ninety European cities and in 1874 Thomas Cook was issuing ‘circular notes’ that operated in the manner of Travelers Cheques

James Fargo, president of American Express on trip to Europe carried traditional letters of credit that wealthy people used to get cash while travelling.

However he found out that many of the smaller European banks wouldn’t accept them, even though he was the president of American Express. Incensed, he returned home and told an America Express employee, Marcellas Berry to create a solution to his problem.

1n 1891, American Express was the first company to develop a large scale Travelers Cheque system. Marcellas Berry combined the money order with an ordinary chequebook. The result was the first travelers cheque.

American Express Travelers Cheque was born. Travelers Cheque established American Express as a truly international company.

In 1914, at the outbreak of the First World War, American Express offices in Europe were among the few companies to honor the letters of credit (issued by various banks) held by Americans in Europe, despite other financial institutions having refused to assist these stranded travelers.
Travelers Cheque by American Express