1850 Cochituate Bank 5 Dollar Banknote - Fine (F) Grade - Massachusetts Obsolete Currency - 1850 Boston MA Five Dollars Obsolete Note

This listing is for the photographed 1850 Cochituate Bank 5 Dollar obsolete bank note. Issued by the bank on January 1st, 1850. Hand dated and signed. The obverse of this note shows a vignette of several sailing ships in the upper left end, another vignette of a sailing ship at the lower center, and a vignette of a sailor standing beside some barrels on the right end. Fine (F) grade/condition, visible signs of wear as pictured. Stunning artwork and great piece of history.

The Cochituate Bank was established in 1849 and operated in Boston and Cochituate, a small town right outside of the city, until it failed in 1854. The name Cochituate comes from the Algonquin word for "place of rushing water." The Cochituate bank is a prime example of banking practices during the United States free banking era (1837-1862).

Obsolete bank notes are also called "broken bank notes." In the days prior to the Federal Reserve, any bank could produce currency for use by the clients and members of the community. Unfortunately, not many safeguards were taken to ensure that banks stood behind the currency they were producing and circulating. Banks, more often than not, failed and their currency was rendered worthless. As a result, most bank notes of the period did not trade at their full retail value. Oftentimes notes were worth 50 cents on the dollar because the public expected the banks to fail.

This beautifully engraved banknote provides insight into the fascinating free banking era and U.S. economic history, making it an excellent addition to any collection!

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1850 Cochituate Bank 5 Dollar Banknote - Fine (F) Grade - Massachusetts Obsolete Currency - 1850 Boston MA Five Dollars Obsolete Note