Jacksons bank veto

Jackson And Pet Banks

As the Jackson Presidency was moving along, the National Bank was about to be renewed. Jackson, no fan of any sort of bank, was all for vetoing it. This would be a milestone in our history. It was the first time that a President had ever vetoed a law simply becasue it was not in there favor.
Jacksons idea was to create a new type of bank; smaller, more local, and much lower interest rates (one of the reasons he had vetoed the national bank was average people struggled with the high interest rates). Jackson called his new bank, the Pet Bank. At first they did very well, but a problem soon arose.
Many people were getting loans from pet banks to buy land from the government. This wasn't a problem, until many people never paid the bank back. Jackson immediately ordered Specie Curcular, in which all land purchased from the government had to be paid for in silver and gold. It went into effect in 1836.
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