Farmers' Bank of Rustico

Last updated

Farmers' Bank of Rustico
Industry Banking
FoundedApril 21, 1863;160 years ago (1863-04-21)
Founder Georges-Antoine Belcourt
Defunct1894 (1894)
FateCharter not renewed
Headquarters,
Canada
Website farmersbank.ca/en/farmers-bank (museum website)

The Farmers' Bank of Rustico operated in the village of Rustico, Prince Edward Island, from 1864 to 1894. It is often considered to have been the first community-based bank in Canada. Founded and managed under the leadership of Father Georges-Antoine Belcourt (1803-1874), the Farmer's Bank of Rustico was established on April 21, 1863. [1] The bank received Royal Assent for its act of incorporation at the Court of Windsor on April 7, 1864." [2] The first president was farmer Jerome Doiron, and the first cashier was Marinus Blanchard, a local school teacher.

Contents

The Farmers' Bank "was the precursor of the North American credit union movement through its influence upon the pioneer credit union organizer, Alphonse Desjardins of Quebec." [3] Like the later credit unions, the Farmers' Bank accepted deposits and provided loans, primarily for less than 1 year. It showed that villagers could successfully operate a financial institution without the assistance of banking experts. However, there are also important differences. The Bank issued its own currency and kept its working funds in specie. But it never built up a substantial reserve fund—preferring to return most of its annual profits to shareholders as dividends.

The Farmers' Bank was also one of the earliest manifestations of a strong movement of Acadian economic self-determination. Belcourt's innovative ideas also gave rise to dozens of seed grain banks in Acadian communities in the 1860s, including one in Egmont Bay that was a precursor to the later co-operative movement in the Evangeline region of the Island. [4] The Bank also anticipated Mouvement des caisses populaires acadiennes, a 200,000 member network of credit unions in New Brunswick.

As such, it played an important role in the development of the Acadian community in the Maritimes. In the view of MacDonald, "the steady availability of cheap credit for thirty years enabled the predominantly Acadian community to attain economic independence." [5] However, the Canadian Bank Act of 1871 did not envision such small financial institutions, and the Farmers' Bank wound up its operations when its charter was not renewed in 1894.

Farmers' Bank of Rustico Museum

The Farmers' Bank of Rustico in Rustico, Prince Edward Island built in 1861 to 1863 is a National Historic Site of Canada, [6] and serves as a local history museum. Displays include Father Georges-Antoine Belcourt and the bank's history, Acadian culture, the fishing industry and area natural history. Admission to the museum includes a tour of the adjacent Doucet House, which was moved to the site in 1999 [7] from its original location on Grand-Père Point. The home has been restored to its pioneer appearance.

Related Research Articles

<i>Evangeline</i> Epic poem by Henry Wadsworth Longfellow

Evangeline, A Tale of Acadie is an epic poem by the American poet Henry Wadsworth Longfellow, written in English and published in 1847. The poem follows an Acadian girl named Evangeline and her search for her lost love Gabriel during the time of the Expulsion of the Acadians.

<span class="mw-page-title-main">Desjardins Group</span> Canadian association of credit unions

The Desjardins Group is a Canadian financial service cooperative and the largest federation of credit unions in North America. It was founded in 1900 in Lévis, Quebec by Alphonse Desjardins. While its legal headquarters remains in Lévis, most of the executive management, including the CEO, is based in Montreal.

Little Canada is a name for any of the various communities where French Canadians congregated upon emigrating to the United States, in particular New England, in the 19th and early 20th centuries. A variant of Canadian French known as New England French is still spoken in parts of New England.

<span class="mw-page-title-main">Coast Capital Savings</span>

Coast Capital Savings Federal Credit Union is a member-owned financial co-operative headquartered in Surrey, British Columbia. By membership, it is among the largest credit unions in Canada with 535,000 members and $25.2 billion in assets. Coast Capital Savings has 52 branches in the Metro Vancouver, Fraser Valley, Okanagan and Vancouver Island regions of British Columbia.

<span class="mw-page-title-main">Alphonse Desjardins (co-operator)</span>

Gabriel-Alphonse Desjardins, born in Lévis, Quebec, was the co-founder of the Caisses Populaires Desjardins, a forerunner of North American credit unions and community banks. For his contribution to the advancement of agriculture in the province of Quebec, he was posthumously inducted to the Agricultural Hall of Fame of Quebec in 1994.

Joseph Gérard Léonce Bernard, was an Acadian-Canadian politician, who was the 26th Lieutenant Governor of Prince Edward Island, the third Island Acadian to hold this position.

<span class="mw-page-title-main">UNI Financial Cooperation</span>

Caisse populaire acadienne ltée, operating as UNI Financial Cooperation, is a Francophone credit union based in New Brunswick, Canada whose members are primarily Acadians. UNI's administrative headquarters are in Caraquet on the Acadian Peninsula.

<span class="mw-page-title-main">North Rustico</span> Town in Prince Edward Island, Canada

North Rustico is a Canadian town located in Queens County, Prince Edward Island.

<span class="mw-page-title-main">History of the Acadians</span> Acadia viewed from a historical point of view

The Acadians are the descendants of 17th and 18th century French settlers in parts of Acadia in the northeastern region of North America comprising what is now the Canadian Maritime Provinces of New Brunswick, Nova Scotia and Prince Edward Island, the Gaspé peninsula in eastern Québec, and the Kennebec River in southern Maine. The settlers whose descendants became Acadians primarily came from the southwestern and southern regions of France, historically known as Occitania, while some Acadians are claimed to be descended from the Indigenous peoples of the region. Today, due to assimilation, some Acadians may share other ethnic ancestries as well.

<span class="mw-page-title-main">Cooperative banking</span> Type of retail or commercial bank organized cooperatively

Cooperative banking is retail and commercial banking organized on a cooperative basis. Cooperative banking institutions take deposits and lend money in most parts of the world.

<i>Bank Act</i> (Canada) Act of the Parliament of Canada

The Bank Act is an act of the Parliament of Canada respecting banks and banking.

Caisse, a French word, may refer to:

<span class="mw-page-title-main">Moses Coady</span>

Moses Michael Coady was a Roman Catholic priest, adult educator and co-operative entrepreneur best known for his instrumental role in the Antigonish Movement. Credited with introducing "an entirely new organizational technique: that of action based on preliminary study" to the co-operative movement in Canada, his work sparked a wave of co-operative development across the Maritimes and credit union development across English Canada. Due to his role and influence, he is often compared to Alphonse Desjardins in Québec. The influence of the movement he led spread across Canada in the 1930s and by the 1940s and 1950s, to the Caribbean, Africa and Asia.

<span class="mw-page-title-main">Antigonish Movement</span> Community development organization in Canada

The Antigonish Movement blended adult education, co-operatives, microfinance and rural community development to help small, resource-based communities around Canada's Maritimes to improve their economic and social circumstances. A group of priests and educators, including Father Jimmy Tompkins, Father Moses Coady, Rev. Hugh MacPherson and A.B. MacDonald led this movement from a base at the Extension Department at St. Francis Xavier University in Antigonish, Nova Scotia.

<span class="mw-page-title-main">Bond of association</span> Social connection among the members of credit unions and co-operative banks

The (common) bond of association or common bond is the social connection among the members of credit unions and co-operative banks. Common bonds substitute for collateral in the early stages of financial system development. Like solidarity lending, the common bond has since played an important role in facilitating the development of microfinance for poor people.

<span class="mw-page-title-main">Canadian Credit Union Association</span> Trade association

The Canadian Credit Union Association is the national trade association for credit unions in Canada. Founded in 1953, it rebranded to its current name in January 2016 to reflect its "evolving role as an association that is focused on growing a stronger... credit union industry."

<span class="mw-page-title-main">Georges-Antoine Belcourt</span> French Canadian priest and missionary

Georges-Antoine Belcourt, also George Antoine Bellecourt, was a French Canadian Roman Catholic diocesan priest and missionary. Born in Baie-du-Febvre, Quebec, Belcourt was ordained in 1827. He established missions in areas of Quebec and Manitoba. On the frontier, he became involved in a political dispute between the local First Nations population and the Hudson's Bay Company, the monopoly fur trading company.

<span class="mw-page-title-main">Credit unions in Canada</span>

Canada has significant per-capita membership in credit unions, representing more than a third of the working-age population. Credit union membership is largest in Quebec, where they are known as caisses populaires, and in western Canada.

<span class="mw-page-title-main">History of cooperatives in Canada</span>

The cooperative movement in Canada is a social and economic movement that started in the middle of the 19th century and continues until today.

References

  1. Pound, Richard W. (2005). 'Fitzhenry and Whiteside Book of Canadian Facts and Dates'. Fitzhenry and Whiteside.
  2. Judy K MacDonald. The restoration of the Farmers' Bank of Rustico, Newsletter of the Prince Edward Island Numismatic Association, May–June, 2001
  3. John T. Croteau, Dalhousie Review, Vol. 36, No. 2, Summer 1956
  4. Paul Wilkinson & Jack Quarter. Building a Community-Controlled Economy: The Evangeline Co-operative Experience. University of Toronto Press, Toronto, 1996, p. 21
  5. Judy K MacDonald. op. cit.
  6. Farmers' Bank of Rustico . Canadian Register of Historic Places . Retrieved 18 September 2011.
  7. "Home". farmersbank.ca.