Mt. Jackson Bank Currency, 1902

Pictured above is one of the 11,527 Blue Seal National Bank Note issued by the Mt. Jackson National Bank in 1902. Though it closely resembles US currency at the time, it was not legal tender. Instead these bank notes were only promises by the bank to pay the bearer the like amount is US currency if requested.

The history of this system is extremely complicated. From 1863 until 1935 the US Treasurer Department allowed banks chartered with the Federal Government to issue "National Bank Notes." These banks were required to purchase government bonds that were used to back the value of each note. In essence the financial institution would own a certain amount of US dollars and would then give a depositor this note with a promise to give them some of this currency is they wanted it.

Each National Bank designed their own note that was then printed by the Treasury Department. Each was larger than the official currency so it could be easily identified. They also bore the name of the bank that printed them instead of the symbols of the Federal government. This allowed merchants to identify who issued the note and determine if they would accept it as payment. How much one of these could buy often depended on the stability of the issuing institution. 

After they were printed, the sheets of bills  were then sent to the bank were they were signed and then cut. Many were often signed before they were cut so the top edge of notes often showed the lower parts of signatures. On this example, the descending "p" in J.I. Triplett's signature appears on the top of the bill. 

The Mt. Jackson National Bank was one of several such national banks that existed in Shenandoah County. The Bank had been established by local businessman Dr. J.I. Triplett. It was initially capitalized at $50,000 and was originally housed in a structure that still stands at 6013 Main St. Dr. Triplett considered the institution the most challenging of all his ventures to run. In 1904 it moved to a new, three story brick building located beside the site of the current town hall.

In 1933 Mt. Jackson National Bank closed and was acquired by competitor People's Bank who moved into the bank building. In 1962 People's was acquired by First Virginia Bank which constructed a new building on Main Street and demolished the old structure to make room for an adjacent parking lot. 

Mount Jackson National Bank Note, 1902.  Digital Collection. Truban Archives, Shenandoah County Library, Edinburg, Virginia.