Charles F. Willard of Chicago filed to organize the Chisago County Bank on September 21, 1858 with a capital of $25,000. It first issued notes on March 9, 1859. Levi W. Folsom was vice president and Sherwood D. Gould was cashier. By late June, John W. North and R. M. S. Pease (of Pease, Chalfant & Co. in Saint Paul) owned the bank. The bank’s circulation was backed entirely by Minnesota Railroad Bonds, and the sole purpose of the bank was to intermediate them.
The bank failed on July 9, 1859. Notes were eventually redeemed by the Auditor’s Office at the rate of 19.25 cents per dollar.
On September 27, 1858 the auditor authorized Wellstood, Hay & Whiting to engrave a 5-10 plate and print 4,000 impressions. On March 12, 1859 he authorized a 1-2 plate and the printing of 3,000 impressions. A total of $69,000 in notes was printed. A total of $36,561 was issued. Unredeemed notes totaled $1,797. The bank note plates were destroyed by the Auditor’s Office on May 10, 1860. The auditor destroyed $32,439 in remainder notes on June 1, 1860.