The Federalists led by Alexander Hamilton
believed that a centralized banking system
was a key to promoting industry and trade.
The Anti federalists, led by Thomas Jefferson
opposed this plan, They feared that the
wealthy would gain control of the bank and
use its resources to increase their power. They supported a decentralized banking system. At first, the Federalists were successful in creating a strong central bank. The Bank succeeded in bringing stability to American banking. The Bank functioned only until 1811, when its charter ran out.
Explanation
To eliminate the chaos, Congress chartered
the Second Bank of the United States in 1816.
The Second Bank slowly managed to rebuild
the public's confidence in a national banking
system.
