CONTEXT
The
first settlers in the area that would later become Windom were Nancy Fitzgerald
and her children, the Abraham McClellan family, Jacob Baldwin, the James
Donaldson family, the Longmire family, and others. The land on which these
families settled were the surveys of Nancy Fitzgerald, John Balser, William
Perry and Jemiah Pennington. They acquired this land by purchase or by a grant.
The southern section of Windom is built on the Fitzgerald land grant.
The
chief source of supplies for these early settlers were from Jefferson, Texas
over the National Costal Highway to the south and the North Paris Road to the
north and the trails and neighboring roads leading into them. As the settlement
continued to grow the Texas and Pacific Railroad established a flag stop in
town in 1872.
The
Town of Windom was established in 1880. Tradition has it that the area, being
the highest point between Texarkana and Fort Worth and exceptionally windy,
took the name “Windom” from this condition. Others say that a train conductor was
named “Windom” and they named the town after him. In 1876 or 1877 Windom was
laid out in blocks and lots on the Sciser survey. The streets running east and
west were named consecutively, beginning from the south, Elm, Bois d'arc, and
Main Street. Starting from the west and running north and south the streets are
numbered First, Second, Third, and Fourth Streets.
By
1890 Windom was a prosperous town of one hundred people. There was a post
office, and a railroad station. B. J. Cagle operated a lumber mill. The Cooper
brothers operated a cotton gin and a grist mill. J. M. Neel was the physician.
Smit and Settle operated a grocery. William Selp was the blacksmith and wagon
maker. The first one room school house was 1884.
The
addition east of the original town plat was opened about 1917. This land was
sold by M. T. Starling out of the Bolser Survey. When the town was incorporated
in 1918 the population was three hundred and fifty and in 1930 three hundred
and seventeen and in 1940 the population was two hundred and forty.[i]
OVERVIEW
The
history of banking in the Town of Windom provides a microcosm of the banking
industry in Texas in general. Prosperous farms and businesses in and around
Windom generated a need for working capital. In 1876 however, the State of
Texas, through actions of the Texas Legislature, banned the creation of new
state chartered banks[ii]. Therefore, the only
readily available sources of working capital were national and private banking
institutions. In 1900 the banking
institutions nearest to Windom were the Planters National Bank and the First
National Bank located in Honey Grove, TX, some five miles from Windom. Recognizing
a need for local banking services, and likely deterred by the $25,000 minimum
capital requirements of a national bank[iii], a group of local businessmen
opened the private Bank of Windom in 1900[iv]. The bank operated out of
F. C. Council’s store which, in addition to banking, also hosted a post office
and grocery[v]. In October of 1902 the bank relocated to a
new brick structure[vi]
on the corner of Main and 2nd Streets at survey plot block 19, lot 8[vii]. It’s first cashier was
Mr. Charley McCleary of Honey Grove[viii]. The building is
thought to have been built by a group of itinerant masons who replicated these
structures across north Texas. Other examples of their work are located in
Dallas Heritage Village in Dallas, Texas and in Ponder, Texas[ix]. As an indication of a
relationship between the First National Bank of Honey Grove and the bank of
Windom, a private telephone line connected the two banking entities was
installed in 1902.[x]
On
August 14, 1905 the Texas Legislature reinstituted the Texas state banking
system as part of the State Bank Law of 1905 making possible the chartering of
state banks for the first time since 1876[xi]. In October of 1909 the
owners of the Bank of Windom sold their assets to the newly-constituted First
State Bank of Windom[xii]. The bank opened on October 29, 1909[xiii] with assets totaling
$17,000. Officers of the bank include H. H. Leeman, President, A. N. Wheeler,
Vice-President, F. J. Underwood, Cashier, John L. Wheeler, Assistant Cashier, and
Directors W. H. Dowlen, H.H. Leeman, J
C. Payne, A. N. Wheeler, F. C. Council, and J. H. Baldwin[xiv]. As business increased
the directors met on July 1, 1911 to increase the capitalization to $25,000[xv].
Beginning
in 1921 the number of state banks in operation in Texas began to decrease and
the bank failure rate increased significantly[xvi]. The First State Bank of
Windom was a part of this trend. On November 14, 1921 the Commission of
Insurance and Banking of the State of Texas closed The First State Bank of
Windom involuntarily and liquidated its assets[xvii]. While the reason for
the closure is not certain it was most likely due to the depression that began
that year as well[xviii].
Ed Hall, the Commissioner of the agency, assigned S. O. Pottorf of Electra,
Texas as the liquidation agent. Mr. Pottorf resided in Windom during the
liquidation process[xix].
On
December 13, 1921 the Guaranty State Bank of Windom opened in the same location[xx] with a capital base of
$40,000[xxi] The directors of the
Guaranty State Bank were W. Lee Dowlen, G. W. Floyd, Chris Runkle, J. A.
Dowlen, and Jno I. Wheeler[xxii]. As the name implies,
the Guaranty State Bank of Windom participated in the depositor’s guaranty
system established by the Texas legislature on May 12, 1909[xxiii]. The Texas guaranty
law empowered state banks to secure deposits by a guaranty-fund system or by a
bond security system. Most bankers chose the guaranty-fund option. By this
arrangement banks contributed a percentage of their average daily deposits
during the preceding year to the fund. If a bank failed, assessments could be
levied on other guaranty banks up to two percent of their average daily
deposits in any one year. Under the bond security system, banks had to furnish a
bond, policy of insurance, or other guaranty of indemnity equal to the capital
stock of the bank[xxiv].
As
bank failures increased, however, the financial burden placed upon banks
supporting the guaranty system caused many banks to exit the state banking
system by converting to a national bank[xxv]. Between 1919 and 1926 a
total of 120 state banks converted to the national system[xxvi]. One of these banks was
the Guaranty State Bank of Windom when on April 22, 1925 E.W. Stearns, the
Acting Comptroller of the U.S. Treasury, certified that the Guaranty State Bank
of Windom, having “complied with all the provisions and statutes of the United
States”, authorized the bank to begin operations under the name of the First
National Bank of Windom[xxvii]. On January 1, 1934
the FDIC began insuring deposits held by the bank for the first time[xxviii].
The
bank was robbed during its tenure as a national bank. On October 29, 1930 a
group of robbers gained access to the building through the rear and proceeded
to cut through the vault door using a torch. Once they gained access to the
vault the robbers cut a hole through the bottom of the 5000 lb. safe and removed
$3,000 in cash and $3,000 in government bonds. The robbers left no clues and
were never caught[xxix].
The
bank operated at the same location under the same name until April 15, 1964
when it changed its name to Fannin National Bank. On January 20, 1976 Fannin National
Bank was renamed simply Fannin Bank and moved from its historic location to a
modern facility located on State Highway 56, and 75 years of continuous banking
at the same location came to an end[xxx].
SIGNIFICANCE
The
significance of the historic bank building in Windom is twofold. First, as
noted above, the history of the banking entities that occupied the building
represents a microcosm of the history of banking in the State of Texas. The
history of banking in Texas is a tale of uncertainty, distrust, and confusion.
The Texas Revolution, repeated constitutional prohibitions on banks, civil war,
and unstable economic conditions hampered development of an established system
of dependable banking institutions[xxxi]. At various points in
its history the State of Texas permitted four types of banks to operate within
the state, private banks, state chartered banks, state chartered banks that
participated in the guarantee system, and national charted banks. In 1900 a
group of local investors opened the private Bank of Windom that operated out of
F. C. Council’s store, Inn 1902 the bank constructed and moved into the red
brick building located at 501 Main Street. With the passage of the State Bank
Law of 1905 state chartered banks were permitted for the first time since 1876.
In October of 1909 the owners of the Bank of Windom sold their assets to the
newly-constituted First State Bank of Windom (see appendix A - letter dated
February 1, 1921). On November 14, 1921 the Commission of Insurance and Banking
of the State of Texas closed The First State Bank of Windom and on December 13,
1921 the Guaranty State Bank of Windom opened in the same location. Finally, on
April 22, 1925, having “complied with all the provisions and statutes of the
United States”, the bank began operations as the First National Bank of Windom
(see appendix B - letter dated October 11, 1928).
But
a bank is more than a physical structure and series of legal entities. A successful
bank is a necessary component of a successful community. This is especially
true of the bank in Windom since it was the only local banking entity serving
the town. The bank in Windom was a reliable source of working capital for farms
and business as well as loans for home construction and other major purchases. The
bank also provided employment opportunities for area residents throughout its
history.
In
1975 Vince Cox was thirteen years old. He recalls riding through Blue Ridge
Texas on his way to a junior high school football game against Farmersville
when he saw a 1938 Chevrolet Coup for sale along the roadside and decided he
had to have it. At the time Vince was working for Bob Holiday at the Steak Out
restaurant in Bonham as a bus boy making $1.35 an hour and was unable to afford
the $500 purchase price on his own. He applied for a loan at the First National
Bank of Windom and Billy Cox, his great uncle and bank officer, approved the
loan which was to be repaid at around $50 a month. Vince notes that “I still
have that old Chevy in my shop, and it is still not finished. Maybe someday”
(personal communication, March 6, 2016).
 |
| Restored front facade. |
 |
| Front door interior |
 |
| Restored pillar footings and headings |
 |
| Restored footing, header, and new address plaque |
 |
| Free standing vault |
 |
| Original tile floor |
 |
| Hallway |
 |
| New windows in front facade |
REFERENCES
[i] Windom Book Club
(1976). “Our Town, Windom Texas”, pp. 4-8, The Doris Letter Shop, Big Spring,
Texas.
[ii] Carlson, Avery
Luvere (1930). “A Banking History of Texas 1835-1920”, pg. 64, Compano Bay
Press, 2007.
[iii] Carlson, Avery
Luvere (1930). “A Banking History of Texas 1835-1920”, pg. 81, Compano Bay
Press, 2007.
[iv] Windom Book Club
(1976). “Our Town, Windom Texas”, p 43, The Doris Letter Shop, Big Spring,
Texas.
[v] Windom Book Club
(1976). “Our Town, Windom Texas”, pg.43, The Doris Letter Shop, Big Spring,
Texas.
[vi] Honey Grove
Signal. (Honey Grove, Tex.), Vol. 12, No. 37, Ed. 1 Friday, October 10, 1902.
[vii] Windom Book Club
(1976). “Our Town, Windom Texas”, pp. 10-12, The Doris Letter Shop, Big Spring,
Texas.
[viii] Honey Grove
Signal. (Honey Grove, Tex.), Vol. 12, No. 37, Ed. 1 Friday, October 10, 1902.
[ix]
Email
from Evelyn Montgomery, Ph.D., Director
of Collections, Exhibits and Preservation, Dallas Heritage Village, January 11,
2016.
[x] Honey Grove
Signal. (Honey Grove, Tex.), Vol. 12, No. 33, Ed. 1 Friday, September 12, 1902.
[xi] Carlson, Avery
Luvere (1930). “A Banking History of Texas 1835-1920”, pg. 65, Compano Bay
Press, 2007.
[xii] The Daily
Favorite, (Bonham, Tex.), Vol. X11, No, 102, Friday December 17, 1909.
[xiii] Texas Department
of Banking, http://www.dob.texas.gov/entity-search/entity-detail?bid=2085&eid=1&bn=0, accessed on
February 24, 2016.
[xiv] The Daily
Favorite, (Bonham, Tex.), Vol. X11, No, 102, Friday December 17, 1909.
[xv] Honey Grove
Signal. (Honey Grove, Tex.), Vol. 21, No. 15, Ed. 1 Friday, May 19, 1911.
[xvi] Carlson, Avery
Luvere (1930). “A Banking History of Texas 1835-1920”, pg. 70, Compano Bay
Press, 2007.
[xvii]
Texas
Department of Banking, http://www.dob.texas.gov/entity-search/entity-detail?bid=2085&eid=1&bn=0, accessed on February
24, 2016.
[xviii]
Carlson,
Avery Luvere (1930). “A Banking History of Texas 1835-1920”, pg. 70, Compano
Bay Press, 2007.
[xix] Honey Grove
Signal (Honey Grove, Tex.), Vol. 32, No. 7, Ed. 1 Friday, March 17, 1922.
[xx] Texas Department
of Banking, http://www.dob.texas.gov/entity-search/entity-detail?bid=2085&eid=1&bn=0, accessed on
February 24, 2016.
[xxi] Honey Grove
Signal (Honey Grove, Tex.), Vol. 32, No. 8, Ed. 1 Friday, March 24, 1922.
[xxii] Honey Grove
Signal (Honey Grove, Tex.), Vol. 32, No. 12, Ed. 1 Friday, April 21, 1922.
[xxiii]
Carlson,
Avery Luvere (1930). “A Banking History of Texas 1835-1920”, pg. 83, Compano
Bay Press, 2007.
[xxiv] Texas State
Historical Society, “Handbook of Texas”, https://tshaonline.org/handbook/online/articles/czb01. accessed on
February 25, 2016.
[xxv] Carlson, Avery
Luvere (1930). “A Banking History of Texas 1835-1920”, pg. 72, Compano Bay
Press, 2007.
[xxvi]
Carlson,
Avery Luvere (1930). “A Banking History of Texas 1835-1920”, pg. 72, Compano
Bay Press, 2007.
[xxvii]
Honey Grove
Signal (Honey Grove, Tex.), Vol. 35, No. 16, Ed. 1 Friday, May 22, 1925.
[xxviii] Federal Deposit
Insurance Corporation, https://research.fdic.gov/bankfind/detail.html?bank=5589&name=Fannin%20Bank&searchName=&searchFdic=5589&city=&state=&zip=&address=&searchWithin=&activeFlag=&tabId=2, accessed on
April 25, 2016.
[xxix] Honey Grove
Signal-Citizen (Honey Grove, Tex.), Vol. 40, No. 39, Ed. 1 Friday, October 31,
1930.
[xxx] National
Information Center, https://www.ffiec.gov/nicpubweb/nicweb/InstitutionHistory.aspx?parID_RSSD=377663&parDT_END=99991231, accessed on
February 25, 2016.
[xxxi]
Carlson, Avery
Luvere (1930). “A Banking History of Texas 1835-1920”, Compano Bay Press, 2007.
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