Pascal Smith of Red Wing and Wells S. Dickinson of Bangor, New York operated the Banking House of Smith & Dickinson in Red Wing. In 1862, they issued fractional scrip to facilitate trade in their town, but the next year they decided to convert their banking operation into a free bank. They purchased the plate of the first Bank of Red Wing and altered the date. The second Bank of Red Wing was capitalized with $27,500. It is likely that the second Bank of Red Wing redeemed notes of the first bank.
Notes were first issued on August 25, 1863, and last on August 23 of the following year. A total of $45,056 was issued, of which $864 remained unredeemed by 1868. Notes were redeemed at par by the Auditor’s Office. On August 17, 1869 the auditor destroyed 479 sheets of remainder notes, numbered 4097 to 4575, inclusive, amounting to $5,269.
The bank converted into the First National Bank of Red Wing, Charter 1487, in 1865.
Issued notes of the second Bank of Red Wing are identified by having a green overprint and a back printed in green ink. Proof notes without overprint and no engraved date should be attributed to the first Bank of Red Wing.
Read more about the Recycling of Bank Plates for Minnesota’s Free Banks in Paper Money, journal of the Society of Paper Money Collectors.