Bank War

conflict over the National Bankdestroy the institution by 1833dismantlingfightpolitical conflictstrugglevetoed the billwar with the Bank of the US
The Bank War refers to the political struggle that developed over the issue of rechartering the Second Bank of the United States (B.U.S.) during the presidency of Andrew Jackson (1829–1837).wikipedia
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Presidency of Andrew Jackson

presidencyAndrew JacksonJackson administration
The Bank War refers to the political struggle that developed over the issue of rechartering the Second Bank of the United States (B.U.S.) during the presidency of Andrew Jackson (1829–1837).
Jackson emerged triumphant in the "Bank War," and the federal charter of the Second Bank of the United States expired in 1836.

Andrew Jackson

JacksonJacksonianPresident Andrew Jackson
The Bank War refers to the political struggle that developed over the issue of rechartering the Second Bank of the United States (B.U.S.) during the presidency of Andrew Jackson (1829–1837).
After a lengthy struggle, Jackson and his allies thoroughly dismantled the Bank.

Nicholas Biddle (banker)

Nicholas Biddle
In early 1832, the president of the Bank of the United States, Nicholas Biddle, in alliance with the National Republicans under Senators Henry Clay (KY) and Daniel Webster (MA), submitted an early application for a renewal of the Bank's twenty-year charter.
He is best known for his role in the Bank War.

Second Bank of the United States

Bank of the United Statesnational bankUnited States Bank
The Bank War refers to the political struggle that developed over the issue of rechartering the Second Bank of the United States (B.U.S.) during the presidency of Andrew Jackson (1829–1837).
The efforts to renew the bank's charter put the institution at the center of the general election of 1832, in which the bank's president Nicholas Biddle and pro-bank National Republicans led by Henry Clay clashed with the "hard-money" Andrew Jackson administration and eastern banking interests in the Bank War.

1832 United States presidential election

18321832 presidential election1832 election
The B.U.S. became the central issue that divided the Jacksonians from the National Republicans in the presidential election of 1832.
Jackson faced heavy criticism for his actions in the Bank War, but he remained popular among the general public.

Daniel Webster

WebsterDan'l WebsterAmerican politician of the same name
In early 1832, the president of the Bank of the United States, Nicholas Biddle, in alliance with the National Republicans under Senators Henry Clay (KY) and Daniel Webster (MA), submitted an early application for a renewal of the Bank's twenty-year charter.
Biddle requested a renewal of the national bank's charter in January 1832, setting off what became known as the "Bank War."

Panic of 1837

financial panic of 1837financial crisis of 18371837
The economy did extremely well during Jackson's time as president, but his economic policies, including his war against the Bank, are sometimes blamed for contributing to the Panic of 1837.
In July 1832, President Andrew Jackson vetoed the bill to recharter the Second Bank of the United States (BUS), the nation's central bank and fiscal agent.

Henry Clay

ClayHenry Clay, Sr.Clay, Henry
In early 1832, the president of the Bank of the United States, Nicholas Biddle, in alliance with the National Republicans under Senators Henry Clay (KY) and Daniel Webster (MA), submitted an early application for a renewal of the Bank's twenty-year charter.
Biddle's application set off the "Bank War"; Congress passed a bill to renew the national bank's charter, but Jackson vetoed it, holding the bank to be unconstitutional.

Panic of 1819

18191819 to 1821, which was one of the most severe1819–20
The rise of Jacksonian democracy was achieved through harnessing the widespread social resentments and political unrest persisting since the Panic of 1819 and the Missouri Crisis of 1820.
These ideologies and interests would be arrayed against the central bank during the Andrew Jackson administration (1829–1837) and would destroy the institution by 1833.

Thomas Hart Benton (politician)

Thomas Hart BentonThomas H. BentonSenator Thomas Hart Benton
On February 2, 1831, while National Republicans were formulating a recharter strategy, Jacksonian Senator Thomas Hart Benton of Missouri launched an attack against the legitimacy of the Bank on the floor of the Senate, demanding an open debate on the recharter issue. Most notably, these were Thomas Hart Benton in the Senate and James K. Polk, member of the House of Representatives from Tennessee, as well as Blair, Treasury Auditor Kendall, and Attorney General Roger Taney in his cabinets.
He supported Jackson during the Bank War and proposed a land payment law that inspired Jackson's Specie Circular executive order.

Louis McLane

Jackson included two Bank-friendly executives in his new official cabinet: Secretary of State Edward Livingston of Louisiana and Secretary of the Treasury Louis McLane of Delaware.
As a member of President Andrew Jackson's Cabinet, McLane was a prominent figure during the Bank War.

John C. Calhoun

John CalhounJohn Caldwell CalhounCalhoun
John C. Calhoun, a representative from South Carolina and strong nationalist, boasted that the nationalists had the support of the yeomanry, who would now "share in the capital of the Bank".
From 1833 to 1834, Jackson was engaged in removing federal funds from the Second Bank of the United States during the Bank War.

Roger B. Taney

Roger TaneyRoger Brooke TaneyChief Justice Taney
Despite McLane's attempts to procure a modified Bank charter, Attorney General Roger B. Taney, the only member of Jackson's cabinet at the time who was vehemently anti-B.U.S., predicted that ultimately Jackson would never relinquish his desire to destroy the central bank.
Taney became one of the most important members of Jackson's cabinet and played a major role in the Bank War.

James K. Polk

James PolkJames Knox PolkPolk
Most notably, these were Thomas Hart Benton in the Senate and James K. Polk, member of the House of Representatives from Tennessee, as well as Blair, Treasury Auditor Kendall, and Attorney General Roger Taney in his cabinets.
Polk served as Jackson's most prominent House ally in the "Bank War" that developed over Jackson's opposition to the re-authorization of the Second Bank of the United States.

Martin Van Buren

Van BurenPresident Martin Van BurenPresident Van Buren
By October 1829, some of Jackson’s closest associates, especially Secretary of State Martin Van Buren, were developing plans for a substitute national bank.
Upon Van Buren's return from Europe in July 1832, he became involved in the Bank War, a struggle over the re-charter of the Second Bank of the United States.

George M. Dallas

George Mifflin DallasGeorge DallasDallas
Fellow Jacksonian George M. Dallas introduced the bill into the Senate.
Dallas declined to seek re-election, in part due to a fight over the Second Bank of the United States, and in part because his wife did not want to leave Philadelphia for Washington.

William Berkeley Lewis

William B. Lewis
Although the President harbored an antipathy toward all banks, several members of the president's initial cabinet advised a cautious approach when it came to the B.U.S. Throughout 1829, Jackson and his close advisor, William Berkeley Lewis, maintained cordial relations with B.U.S. administrators, including Biddle, and Jackson continued to do business with the B.U.S. branch bank in Nashville.
During the Bank War, Lewis, in contrast to Jackson, took a position moderately in favor of the Second Bank of the United States.

William J. Duane

William DuaneWilliam John DuaneDuane
The President replaced McLane with William J. Duane, a reliable opponent of the Bank from Pennsylvania.
In 1833, in the midst of the Bank War, President Andrew Jackson attempted to remove federal deposits from the Second Bank of the United States, whose money-lending functions were taken over by the legions of local and state banks that materialized across America, thus drastically increasing credit and speculation.

Pet banks

Opponents referred to these banks derisively as "pet banks" since many of them financed pet projects conceived by members of the Jackson administration.
The charter for the Second Bank of the United States, which was headed by Nicholas Biddle, was for a period of twenty years beginning in 1816, but Jackson's distrust of the national banking system (which he claimed to be unconstitutional) led to Biddle's proposal to recharter early, and the beginning of the Bank War.

Robert V. Remini

Robert ReminiRemini, Robert V.
Robert V. Remini believes that the Bank had "too much power, which it was obviously using in politics. It had too much money which it was using to corrupt individuals. And so Jackson felt he had to get rid of it. It is a pity because we do need a national bank, but it requires control."
Remini took a moderate view of Jackson's behavior during the Bank War.

Jacksonian democracy

JacksonianJacksonian DemocratJacksonian Democrats
The rise of Jacksonian democracy was achieved through harnessing the widespread social resentments and political unrest persisting since the Panic of 1819 and the Missouri Crisis of 1820. Jacksonian Democrats cited a long list of criticisms in opposing the Bank.

Westphalian sovereignty

national sovereigntystate sovereigntyWestphalian
Some found the public-private creation to be unconstitutional, and that the institution's charter violated state sovereignty.

National Republican Party

Anti-JacksonianNational RepublicanNational Republicans
In early 1832, the president of the Bank of the United States, Nicholas Biddle, in alliance with the National Republicans under Senators Henry Clay (KY) and Daniel Webster (MA), submitted an early application for a renewal of the Bank's twenty-year charter.

United States Senate

U.S. SenatorUnited States SenatorU.S. Senate
The new Whig Party emerged in opposition to his perceived abuse of executive power, officially censuring Jackson in the Senate.

First Bank of the United States

Bank of the United Statesnational bankFirst
The First Bank of the United States was established at the direction of Treasury Secretary Alexander Hamilton in 1791.