During the War of 1812, Stephen Girard personally financed the United States government, preventing a federal bankruptcy by underwriting nearly 95 percent of the national war loan. This decisive financial intervention solidified his position as a central figure in American banking, allowing him to accumulate an estate eventually ranked as the fourth-largest in the history of the United States.
Early Maritime Career
Born in Bordeaux in 1750, Girard moved to New York in 1760 to work as a cabin boy. He lost sight in his right eye at age eight and had limited formal schooling at Madame Grelaud's French School. By 1773, he earned his captain's license. During the American Revolutionary War in 1776, he moved to Philadelphia, shifting from maritime trade to operating a local grocery and liquor shop.
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Girard built a trading fleet that participated in the Old China Trade, smuggling opium into Canton until 1824. His merchant activity extended to the Caribbean, where he salvaged goods during the Haitian Revolution. His domestic life involved the ownership of an enslaved woman named Hannah, whom he kept until his death, despite Pennsylvania's gradual abolition laws. She remained the only enslaved person recorded in Philadelphia in 1828.
Philanthropic Response to Crisis
During the 1793 Philadelphia yellow fever outbreak, Girard remained in the city, financing the conversion of a mansion into a hospital and nursing patients personally. He repeated these relief efforts during the 1797-1798 epidemic. Despite these public services, his private life was marked by the mental decline of his wife, Mary Lum, whom he committed to the Pennsylvania Hospital in 1790.
Banking and Final Years
After the First Bank of the United States lost its charter in 1811, Girard acquired its facility and assets to establish his own institution. Because he acted as a single owner rather than an association, he bypassed state banking regulations. Following an accident in 1830 involving a horse and wagon that damaged his remaining good eye, his health declined. He died in 1831 and was eventually re-interred at Girard College.
Fast facts
- Born: 1750, Bordeaux
- Died: 1831, Philadelphia
- Occupations: Sailor, merchant, ship-owner, financier, smuggler
- Education: Madame Grelaud's French School
- Religion: Atheism
- Citizenship: United States and Kingdom of France
Questions readers ask
How did Girard sustain the U.S. government during the War of 1812?
He used his personal credit and resources to underwrite 95 percent of the federal war loan, totaling $1 million.
What happened to Girard's banking business after he died?
The bank ceased operations upon his death, though subsequent firms like the Girard Trust Company and Girard Bank used his name until the brand was sold to Citizens Bank.
Achievements
- Educated at Madame Grelaud's French School
