Disaster in Kirtland Summary and Analysis

Joseph Smith did not return from his missionary journey to the east with buried gold. However, he did manage to borrow sufficient money to pay some of the debts of the church that were coming due. Unfortunately, continued borrowing of money only added to the total of the debts.

The leadership of the Church determined to organize the Kirtland Safety Society Bank Company. They applied for bank corporation, and ordered money to be printed for the bank. This was a time of national financial instability with no universal paper money designated across the country. Paper money was printed in Ohio and elsewhere in the west at this time by anyone who had the courage and capital to begin a bank. Ohio's banking system was especially chaotic, with thirty-three authorized banks, multiple unauthorized banks, and a variety of...