Andrew Jackson vs. The Bank of the United States - The Making of a Nation No.46

September 18, 2013

Making of a Nation

From VOA Learning English, welcome to The Making of a Nation, our weekly program of American history for people learning English. I’m Steve Ember.This week we continue the story of the presidency of Andrew Jackson.

President Andrew JacksonPresident Andrew Jackson

Jackson took office in 1829. He was popular with many voters. They saw him as the symbol of the common man. But Jackson’s first term seemed to be mostly a political battle with his vice president, John C. Calhoun.

As his presidency went on, another struggle began. This time, it was Jackson against the Bank of the United States.

The First Bank of the United States had closed in 1811. But without a central bank, the country’s finances had suffered during the War of 1812.

President Andrew Jackson

So in 1816, Congress provided money to establish the Second Bank of the United States. The bank could provide loans, pay bills, collect taxes and move money around the country.

Congress gave the bank a charter to do business for 20 years. The government owned one-fifth of the bank. A small group of private citizens owned the rest. Lawmakers gave the bank enormous power.

The Bank of the United States had $35 million in capital. Some of that money came from the government. Most came from investors.