Banking History Timeline - Follow the Money

Elite banking families – including the Rockefellers, Rothschilds, and Morgans – have gained control of the global economy through the central banking system. They set up the Federal Reserve in the US in 1913 and have been manipulating the market to benefit themselves ever since. This timeline shows the pattern of American Presidents being assassinated after challenging central bankers and their monopoly on money, and the Federal Reserve’s artificial creation of booms and busts that causes people to lose their jobs, homes, and retirements, while the bankers further consolidate wealth and control.


1694 – Bank of England Established

First Central Bank established in the UK. Served as model for most modern central banks.


1744- Mayer Amschel Rothschild, Founder of the Rothschild Banking Empire, is Born in Frankfurt, Germany

Mayer Amschel Rothschild extended his banking empire across Europe by carefully placing his five sons in key positions. They set up banks in Frankfurt, Vienna, London, Naples, and Paris.  By the mid 1800’s they dominated the banking industry, lending to governments around the world and people such as the Vanderbilts, Carnegies, and Cecil Rhodes.


1757- Colonial Scrip Issued in US

Debt free, fiat currency was printed in the public interest. As Benjamin Franklin said,

“In the colonies we issue our own money. It is called colonial scrip. We issue it in proper proportion to the demands of trade and industry to make the products pass easily from the producers to the consumers. In this manner, creating for ourselves our own paper money, we control its purchasing power and we have no interest to pay no one.”


1776 – American Independence


1791 – Congress Creates the First US Bank – A Private Company, Partly Owned by Foreigners – to Handle the Financial Needs of the New Central Government

Previously, the 13 states had their own banks, currencies and financial institutions.


1816 – The Privately Owned Second Bank of the US was Chartered – It Served as the Main Depository for Government Revenue, Making it a Highly Profitable Bank


1832 – Andrew Jackson Campaigns Against the 2nd Bank of the US and Vetoes Bank Charter Renewal

Andrew Jackson was  skeptical of the central banking system and believed it gave too few men too much power and caused inflation. He was also a proponent of gold and silver and an outspoken opponent of the 2nd National Bank. The Charter expired in 1836.


1833 – President Jackson Issues Executive Order to Stop Depositing Government Funds Into Bank of US

By September 1833, government funds were being deposited into state chartered banks.


Jan 30, 1835 – Jackson Escapes Assassination

Assassin misfired twice.


1833-1837 – Manufactured “boom” created by central bankers – money supply Increases 84%, Spurred by the 2nd Bank of the US

The total money supply rose from $150 million to $267 million.[1]


1837-1843 – Terrible Depression

343 of the 850 banks in the US closed entirely as largest banks consolidated wealth and power.[2]


1861 – American Civil War


1862-1863 Lincoln Over Rules Debt-Based Money and Issues Greenbacks to Fund the War

Bankers would only lend the government money under certain conditions and at high interest rates, so Lincoln issued his own currency – “greenbacks” – through the US Treasury, and made them legal tender. His soldiers went on to win the war, followed by great economic expansion.


April 15, 1865 – Lincoln Assassinated


1881- President James Garfield, Staunch Proponent of “Honest Money” Backed by Gold and Silver, was Assassinated

Garfield opposed fiat currency (money that was not backed by any physical object) and was a strong advocate of a bi-metal monetary system. He had the second shortest Presidency in history.


1907- Banking Panic of 1907

The New York Stock Exchange dropped dramatically as everyone tried to get their money out of the banks at the same time across the nation. This banking panic spurred debate for banking reform. JP Morgan and others gathered to create an image of concern and stability in the face of the panic, which eventually led to the formation of the Federal Reserve. The founders of the Federal Reserve pretended like the bankers were opposed to the idea of its formation in order to mislead the public into believing that the Federal Reserve would help to regulate bankers when in fact it really gave even more power to private bankers, but in a less transparent way.


1908 – JP Morgan Associate and Rockefeller Relative Nelson Aldrich Heads New National Monetary Commission

Senate Republican leader, Nelson Aldrich, heads the new National Monetary Commission that was created to study the cause of the banking panic. Aldrich had close ties with J.P. Morgan and his daughter married John D. Rockefeller.


1910 – Bankers Meet Secretly on Jekyll Island to Draft Federal Reserve Banking Legislation

Over the course of a week, some of the nations most powerful bankers met secretly off the coast of Georgia, drafting a proposal for a private Central Banking system. Those in attendance included Nelson Aldrich, A.P. Andrew (Assistant Secretary of the Treasury), Paul Warburg (Kuhn, Loeb, & Co.), Frank Vanderlip (President of National City Bank of New York), Charles D. Norton (president of the Morgan-dominated First National Bank of New York), Henry Davidson (Senior Partner of JP Morgan Co.), and Benjamin Strong (representing JP Morgan). 



Dec 23, 1913 – Federal Reserve Act Passed

Two days before Christmas, while many members of Congress were away on vacation, the Federal Reserve Act was passed, creating the Central banking system we have today. It was based on the Aldrich plan drafted on Jekyll Island and gave private bankers supreme authority over the economy. They are now able to create money out of nothing (and loan it out at interest), make decisions without government approval, and control the amount of money in circulation.


1913 – Income tax established -16th Amendment Ratified

Taxes ensured that citizens would cover the payment of debt due to the Central Bank, the Federal Reserve, which was also created in 1913.The 16th Amendment stated: “The Congress shall have power to lay and collect taxes on incomes, from whatever source derived, without apportionment among the several States, and without regard to any census or enumeration.”



1914 – JP Morgan and Co. Profits from Financing both sides of War and Purchasing Weapons


J.P. Morgan and Co. made a deal with the Bank of England to give them a monopoly on underwriting war bonds for the UK and France. They also invested in the suppliers of war equipment to Britain and France.


November 1914 – Federal Reserve Banks Open


1921-1929 – The “Roaring 20’s” – The Federal Reserve Floods the Economy with Cash and Credit

From 1921 to 1929 the Federal Reserve increased the money supply by $28 billion, almost a 62% increase over an eight-year period.[3] This artificially created another “boom”.


1929 – Federal Reserve Contracts the Money Supply

In 1929, the Federal Reserve began to pull money out of circulation as loans were paid back. They created a “bust” which was inevitable after issuing so much credit in the years before. The Federal Reserve’s actions triggered the banking crisis, which led to the Great Depression.


October 24, 1929 – “Black Thursday”, Stock Market Crash

The most devastating stock market crash in history. Billions of dollars in value were consolidated into the private banker’s hands at the expense of everyone else.


1930- Great Depression Begins


1929-1933- Federal Reserve Reduces Money Supply by 33%


June 4, 1963 – Kennedy Issued an Executive Order (11110) that Authorized the US Treasury to Issue Silver Certificates, Threatening the Federal Reserve’s Monopoly on Money

This government issued currency would bypass the governments need to borrow from bankers at interest.


Nov. 22, 1963 - Kennedy Assassinated


December 1963 – Johnson Reverses Kennedy’s Banking Rule and Restores Power to the Federal Reserve


1999 – The Financial Services Modernization Act Allows Banks to Grow Even Larger

Many economists and politicians have recognized that this legislation played a key part in the subprime mortgage crisis of 2007.  It repealed part of the Glass-Steagall Act of 1933 and allowed investment banks, commercial banks, securities firms, and insurance companies to merge. Citigroup was a major proponent of this particular bill (it had already merged with Travelers Insurance and needed to find a way to legally keep the corporation together). The government gave Citi officials the opportunity to review and approve drafts before the legislation was introduced and to modify it as they desired. Robert Rubin, Treasury Secretary at the time, helped move the bill forward in early 1999.  He then stepped down from the Treasury position in July, joined CitiGroup in October, and the bill was passed in November.  The Center for Responsive Politics also found that members of Congress who supported the bill received twice as much money from the banking sector than those who opposed it.[4]


2000-2003 – The Federal Reserve Extends “Easy Credit”, Lowers the Federal Fund Rate from 6.5% to 1%[5] and Sets up Another Financial “Boom”


2004 – Investment Banks and the SEC Cut a Deal

On April 28, 2004, five of the biggest investment banks, including Bear Stearns and Goldman Sachs (then run by Henry Paulson, who later became Secretary of the Treasury), met with members of the Securities and Exchange Commission (SEC), urging them to allow voluntary regulation of themselves, so they could determine themselves how much money they could make up out of nothing to loan into circulation. This is known as the banks leverage ratio, or amount of assets to borrowing ratio. Up until 2004, the amount of debt the banks could take on was limited. However, in 2004, the SEC agreed to let banks regulate themselves and take on as much debt as they wanted, therefore unleashing billions of dollars for high-risk investment packages. Under this new voluntary regulation the Bear Stearns ratio, for example, jumped to 33 to 1.[6] Not long after, the economy collapsed and financial wealth and power was again further consolidated into the hands of the private bankers who run the Federal Reserve.


2004-2006 – Federal Reserve Sets Off New “Bust” by Making Loans and Adjustable Rate Mortgages More Expensive, Raising Fed Fund Rates to 5.25%[7], This contracts the market.


2007-2010 – Worst Financial Crisis Since the Great Depression

The financial crisis impacted people around the world – millions lost their homes, jobs, and retirement funds. Many of the smaller banks were absorbed by others, which allowed the biggest banks to further consolidate wealth and eliminate competition. In 2008, J.P. Morgan Chase & Co. bought up both Washington Mutual (the biggest bank to “fail” in the history of the United States) and Bear Stearns (the fifth largest investment bank).


2010 – JP Morgan Chase Reports Record Profits

The bank made a record profit of $17.4 Billion in 2010. [8]





[3] “The Inflationary Factors”:

[4] “Money and Votes Aligned in Congress’s Last Debate Over Bank Regulation” by Massie Ritsch, September 23, 2008.

[5] Open Market Operations Archive, The Federal Reserve: