What Was Andrew Jackson's Charter

Improved Essays
Andrew Jackson President Andrew Jackson barred the proposed bill re-chartering the Second Bank of United States in July 1832. He disputed that the bill, in the form with which it had been presented to him, was totally incompatible with sound policy and justice as well as the constitution. In the veto message, the President argued that the Bank’s license was completely unfair by virtue of the fact that it gave the bank extensive, almost monopolistic power in the market particularly in the markets that facilitated financial resources across the country and in other countries as well.
Such market dominance amplified the banks profits and consequent stock price, “which operated as a gratuity of many million (of dollars) to the stakeholders,” who, President Jackson claimed, included majority of “foreigners” and “our own opulent” citizens. In his perspective, he recommended that, to be fairer to Americans, it was vital to develop or establish a bank that is wholly owned by the government or at least auction the monopoly privileges of the Second Bank of the US to the top bidder.
…show more content…
To begin with, the charter conferred integrated state banks enhanced note redemption privileges than the ones accorded to average Americans and thereby creating “a bond of union among the banking establishments of the nation, erecting them into an interest separate from that of the people.”Secondly, it excused alien stakeholders from taxation while containing a section that allowed states to tax native stakeholders. President Jackson believed that the outcome of discrepant taxation would only drive majority of the stock abroad and therefore “make the American people debtors to aliens in nearly the whole amount due to this bank, and send across the Atlantic from two to five millions of specie every year to pay the bank

Related Documents

  • Improved Essays

    The court ruled with compliance with the Federal Government saying that “the power to tax involves the power to destroy.” In 1816 Congress established the Second National Bank, due to the financial problem of the War of 1812. Most states did not accept the chartering of a National Bank. Therefore many states passed laws on either banning the bank completely or taxing it.…

    • 805 Words
    • 4 Pages
    Improved Essays
  • Decent Essays

    1. @AndrewJackson one of the most #definitive act #your presidency. This tweet references, President Andrew Jackson vetoed a bill that would have renewed the corporate charter for the Second Bank of the United States. 2.…

    • 227 Words
    • 1 Pages
    Decent Essays
  • Improved Essays

    In July of 1832, Andrew Jackson wrote an address to Congress explaining why he vetoed the proposed bill for the institution of a national bank. Despite the fact that Jackson was not known for completing tasks in a benevolent manner, his decision to veto the bill was actually rather admirable and beneficial for the country at the time. Jackson strongly argued the point that stocks should be dispersed between both foreign countries and the early United States fairly. He believed this to be crucial because if given the opportunity the foreign countries, primarily Great Britain, would try to purchase as much stock as possible allowing their wealth to flourish. While in theory the idea seemed like a good way to create a constant flow of revenue, if the majority of the revenue was to only return to countries, such as Great Britain, the inhabitants in the United States would still be in debt .…

    • 1124 Words
    • 5 Pages
    Improved Essays
  • Decent Essays

    3. What were the reasons for the Jacksonian war on the Bank of the United States, and its effects on the American financial system? Answer: Andrew Jackson did not find the Bank of United States. Jackson actually took steps to destroy the bank by ordering sizable federal deposits to be removed from its vaults and redeposited into Democratic-inclined state banks.…

    • 470 Words
    • 2 Pages
    Decent Essays
  • Improved Essays

    During the 1820’s and 1830’s, America was experiencing many changes both as a country and politically. The revolution within America, with the election of Andrew Jackson in 1828, brought many changes in the government. Jackson and his supporters, the Jacksonian Democrats viewed themselves as the guardians of the United States Constitution, political democracy, individual liberty, and equality of economic opportunity. Although Jacksonian Democrats failed to perform as guardians of the constitution and individual liberty, they were able to show support and solidify political democracy and the equality of economic opportunity. Jackson was considered as a strict interpreter of the constitution and was thought to have interpreted the constitution in the basic basis that it was created to be.…

    • 685 Words
    • 3 Pages
    Improved Essays
  • Great Essays

    In Jackson’s veto message, he rejects a bill that rechartered the Bank. Jackson’s argument was that the Bank gave privileges and unfair advantages to the wealthy. He also opposed foreign ownership of stock. Not only this, but he also questions the constitutionality of the Bank. Jackson later warned that banks and corporations would steal citizens’ liberties away from them in his Farewell Address in 1837 (Jackson).…

    • 1108 Words
    • 5 Pages
    Great Essays
  • Improved Essays

    President Jackson saw this and took advantage of this mistake. Jackson used his presidential power, which is equal to the judicial branch’s power, and overruled this decision. Thus, the Second Bank of the United States ceased to exist. By using unorthodox methods of creating laws, Andrew Jackson changed the presidency by showing he was more powerful than the other branches of the…

    • 1538 Words
    • 7 Pages
    Improved Essays
  • Improved Essays

    Andrew Jackson didn’t like banks or banks and thought they…

    • 1161 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    How Democratic Was Andrew Jackson? Andrew Jackson the democrat? More like Andrew Jackson the DEMONcrat! Andrew Jackson is considered to be one of the most famous presidents in American history because of his “democratic” views. The era of the “common man” marked the beginning for American democracy where ordinary people had a say in the government.…

    • 1166 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    The United States of America has run on the thought that they will never have a king, yet they are essentially being ruled by a king. Jackson is the President of the United States and in his actions, acted like a king. President Andrew Jackson was unconstitutional because he went against the supreme court, threatened South Carolina, and went against the just and liberal policy with the Native Americans. President Jackson was unconstitutional because he went against the Supreme Court. “The bank, Mr. Van Buren, is trying to kill me, but I will kill it.”…

    • 773 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    Andrew Jackson Villain

    • 1016 Words
    • 5 Pages

    So he went along with the idea of not wanting to recharter The Second Bank of the United States, and the federal deposits were not returned to the Second Bank, and the charter expired in 1836. Withdrawal of federal funds strained the pet banks and they were then, forced to call in loans. Jackson then issued a “specie circular” which required payment for public land sales to be paid in gold, silver, or currency backed by them because he feared rampant speculation. The result of this was a squeezing of of the US money supply and eventually lead to the financial panic making banks banks collapsing, businesses failing, prices declining and thousands of workers losing their jobs. This was the worst economic depression that the United States had ever known.…

    • 1016 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    Jackson began to do this by starving the bank by moving millions of dollars from the bank to the individual state banks. When Henry Clay accelerated the deadline of the bank’s charter’s renewal, Jackson vetoed it. The effects of this were widespread; America later fell into a depression that lasted six years. Much of this was rooted in that banks lost trust without gold backing in the currency. Jackson attempted to fix the problem by passing the Specie Circular, requiring land purchasers to pay in gold coins or specie.…

    • 852 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    Jackson’s biggest battle however was the destruction of the 2nd National Bank, which he deemed a monopoly (Document 4). He believed that…

    • 1171 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    The Bank of the United States received its license in 1791 from the United States Congress and was signed by President George Washington. Secretary of the Treasury, Alexander Hamilton, designed the Bank’s charter. He modeled it after the Bank of England. The bank was needed because the government had a debt from the Revolutionary War and each state had a different form of currency. Hamilton considered creating the bank to handle the massive war debt and to create a standard form of…

    • 904 Words
    • 4 Pages
    Improved Essays
  • Superior Essays

    He was worried about the Bank's defendability. In 1832, Jackson vetoed the bill to recharter the Bank of the United States because he felt that the bank was a threat to their economy and to the people of America. This shows Andrew Jackson’s economic nationalism because he is trying to preserve the economy. Jackson took further action in 1833 by taking away federal funds from the Second Bank of the United States and moving it to the capital into loyal state…

    • 1584 Words
    • 7 Pages
    Superior Essays