Chesterfield
Western Frontier Bank
Like many banks in the region, Western Frontier Bank failed. The drought and dust storm ruined the farmers' crops so they were not able to pay their seed loans. Nor were they able to get new loans to plant new crops. When the townspeople became nervous about the health of the bank they began withdrawing their money and hoarding the cash. This took even more cash out of circulation. With depositors taking the available cash out of the bank and the farmers unable to pay the money loaned to them, the bank simply ran out of money.