Stephen Girard: Biography, Success Story, Banker

Stephen Girard’s biography is a compelling success story of a visionary who rose from modest beginnings to become one of the wealthiest and most influential figures in early American history. Born in Bordeaux, France, in 1750, Girard’s journey led him to Philadelphia, where he made an indelible mark as a banker, philanthropist, and civic leader. His actions during pivotal moments, such as the yellow fever epidemics and the War of 1812, showcased his commitment to the well-being of his adopted city.

Early Life

Stephen Girard, born on May 20, 1750, in Bordeaux, France, began his life as the son of a sea captain. He lost sight in his right eye at just eight years old and received minimal formal education. His adventures started early; by 1760, Girard had traveled to New York as a cabin boy. He spent his youth navigating the bustling coastal trader system, reaching as far south as the Caribbean. By 1773, he had earned his captain’s license. A year later, he returned to New York and, under the mentorship of a local merchant, began trading between New Orleans and Port-au-Prince.

In a turn of fate during May 1776, amidst the burgeoning American Revolutionary War, Girard sailed into Philadelphia to escape a fleet of Royal Navy warships, choosing to settle there permanently. He opened a grocery and liquor store, establishing his roots in the burgeoning city. 1783 brought familial ties into sharper focus when his brother, John Girard, visited from Saint-Domingue, leaving Stephen with an enslaved person named Hannah. Despite Pennsylvania’s 1780 Act for the Gradual Abolition of Slavery, Hannah remained enslaved under Girard until his death in 1831, noted as the only enslaved individual in Philadelphia by an 1828 report.

By 1790, Girard had amassed a fortune of $6,000 and owned a small fleet of trading ships. The following year proved lucrative when his ships salvaged goods from French planters during the Haitian Revolution, adding $10,000 worth of goods to his wealth after the original owners were presumed dead. Girard’s commercial interests expanded globally, including participation in the lucrative Old China Trade. He financed multiple voyages to Canton, dealing in legitimate trade goods and the less savory opium smuggling, which continued until an incident in 1824 halted his dealings with Chinese authorities. This early venture into global trade laid the groundwork for Girard’s later prominence as a leading American banker and philanthropist.

Affairs and Marriage

In 1776, Stephen Girard’s life took a significant turn when he met Mary Lum, a native of Philadelphia who was nine years younger than him. The couple quickly married, and Girard bought a home at 211 Mill Street in Mount Holly Township, New Jersey. Mary, the daughter of a recently deceased shipbuilder named John Lum, would soon face health challenges that would shape their lives together. By 1785, Mary exhibited sudden and severe emotional outbursts, which escalated into violent rages and were eventually diagnosed as incurable mental instability.

Despite the initial shock and devastation, Girard’s personal life continued to evolve. By 1787, he had begun an affair with Sally Bickham. In a decisive move in August 1790, Girard placed Mary in the Pennsylvania Hospital, ensuring she received every possible luxury for her comfort. Mary gave birth to a daughter named Mary during her time in care, though the child’s paternity remained uncertain. Tragically, the infant passed away a few months later while under the care of a nurse hired by Girard.

As Mary remained in the hospital, Girard continued his life in Pennsylvania, where he settled in 1778 and spent his years with various mistresses, never remarrying. His complex personal history intertwined with his burgeoning business ventures, painting a picture of a man marked by both financial acumen and personal tragedies.

In 1793, Philadelphia was hit by a devastating outbreak of yellow fever. Unlike many of the city’s affluent residents who fled, Stephen Girard chose to stay behind and help the sick and dying. He took charge of transforming a mansion just outside the city into a makeshift hospital and actively recruited volunteers to assist in nursing the victims. Girard himself provided personal care to many patients. His leadership and compassion during the crisis earned him widespread admiration and recognition as a hero once the epidemic subsided.

Girard’s commitment to the community was further demonstrated during another severe yellow fever epidemic in 1797-1798, where he again played a crucial role in aiding the poor and caring for the afflicted. His actions during these outbreaks underscored his dedication to humanitarian efforts alongside his business endeavors.

Yellow Fever Epidemics

In 1793, Philadelphia was hit by a devastating outbreak of yellow fever. Unlike many of the city’s affluent residents who fled, Stephen Girard chose to stay behind and help the sick and dying. He transformed a mansion just outside the city into a makeshift hospital and actively recruited volunteers to assist in nursing the victims. Girard himself provided personal care to many patients. His leadership and compassion during the crisis earned him widespread admiration and recognition as a hero once the epidemic subsided.

Girard’s commitment to the community was further demonstrated during another severe yellow fever epidemic in 1797-1798, where he again played a crucial role in aiding the poor and caring for the afflicted. His actions during these outbreaks underscored his dedication to humanitarian efforts and business endeavors.

Founding Father of American Banking

Stephen Girard significantly impacted American banking by reestablishing the former First Bank of the United States under his own name after its charter expired in 1811. Purchasing most of its stock and facilities located on South Third Street in Philadelphia, he opened Girard’s Bank on May 18, 1812, with George Simpson, previously the cashier of the First Bank, and a small team of seven employees. Despite challenges from other Philadelphia banks and legal hurdles from Pennsylvania laws that restricted banking practices, Girard’s creditworthiness allowed his bank to issue notes successfully.

During the War of 1812, Girard’s Bank became an essential financial lifeline for the U.S. government, providing crucial credit when the government’s own resources were nearly depleted. Girard invested almost all of his personal assets, underwriting 95 percent of the government war loans, which were critical in sustaining the American war effort. After the war, he continued his influence in the financial sector as a major stockholder and director of the Second Bank of the United States.

Following Girard’s death in 1831, his legacy in banking continued. Local business people established the Girard Trust Company and later Girard Bank in his name, capitalizing on his reputation for reliability and financial acumen. The bank underwent several transformations, merging with Mellon Bank in 1983 and later becoming part of Citizens Bank. The iconic headquarters of Girard’s Bank still marks the Philadelphia skyline at Broad and Chestnut Streets, highlighting Girard’s impact on American banking.

Death and Legacy: America’s Forgotten Financial Titan

Stephen Girard, a significant figure in American history, met with a grave accident on December 22, 1830, when he was knocked down by a horse and wagon near Second and Market Streets in Philadelphia. The incident severely injured the left side of his face, lacerating his cheek and ear and damaging his remaining good eye. At the age of 80, Girard astonishingly got up unassisted and returned to his home, where his injuries were attended to. Despite this setback, he returned to his banking duties, though he stayed out of public view for two months. He never fully recovered and passed away on December 26, 1831. Initially buried in Holy Trinity Catholic Cemetery, his remains were moved to Girard College, marked by a statue from French sculptor Nicholas Gevelot.

At his death, Girard was considered the wealthiest man in America, with an estate valued at approximately $7.5 million, equivalent to around $255.9 million today. Authors Michael Klepper and Robert Gunther ranked him the fifth-wealthiest American ever by 1996 standards. Known for his atheistic views, Girard’s will reflected his beliefs and outlined significant contributions to public and charitable causes.

Philanthropic Endeavors and Legal Battles

Girard’s will, contested by his family in France, was eventually upheld by the U.S. Supreme Court in the landmark case Vidal et al. vs Girard’s Executors. He left nearly all his fortune to various institutions, including $6 million for establishing Girard College, a school for “poor, male, white orphans” primarily from coal-mining families, which opened in 1848. Additionally, he made bequests to enhance Philadelphia’s public schools, including $10,000 for purchasing books and establishing funds for student medals. To his friend Judge Henry Bree, he left a plantation in Louisiana, which included thirty enslaved people.

Cultural Impact and Memory

Interestingly, when Girard’s former counting house was demolished in 1907, underground cells were discovered, rumored to have been used to incarcerate enslaved people. Although no longer a common expression, “Stephen Girard work” or “Stephen Girard job” once described tasks as pointless, reflecting Girard’s belief in avoiding idleness by engaging people in seemingly useless activities, like endlessly moving bricks back and forth. This phrase underlined his philosophy that fostering industry, even through trivial tasks, was preferable to giving direct handouts.

A Legacy Etched Across America

Stephen Girard’s legacy extends far beyond his financial and philanthropic contributions, as evidenced by the numerous places named in his honor across the United States. Girard Avenue, a vital east-west artery in North and West Philadelphia, facilitates daily commutes and leads to Girard College, a school founded through his endowment.

In what is now known as Girard Estate, part of a successful farm he established in the late 1700s, visitors can explore Stephen Girard Park and view his preserved “country mansion.” Meanwhile, Girard Fountain Park enhances the Old City neighborhood of Philadelphia, featuring a sculpture of Benjamin Franklin.

Beyond Philadelphia, the borough of Girardville in Schuylkill County, located about 110 miles northwest of the city, nestles among acres once part of the expansive Girard Estate. Stephen Girard Avenue marks a street in the Gentilly area of New Orleans, linking his name to yet another city. Further afield, the town of Girard in Erie County, Pennsylvania, and the community of Girard in Richland Parish, Louisiana, reflect his influence; the latter was where he financed and supervised a plantation starting in 1821.

Even during World War II, his name graced the USS Stephen Girard, a Liberty ship launched in 1942, showcasing the enduring recognition of his impact. These homages across the country immortalize Stephen Girard’s vast contributions, ensuring his name remains synonymous with philanthropy and development.

Stephen Girard’s Timeline

• 1750: Born in Bordeaux, France on May 20.
• 1760: Traveled to New York as a cabin boy.
• 1773: Licensed as a ship captain.
• 1776: Settled in Philadelphia to avoid British warships.
• 1785: Began experiencing significant personal challenges due to his wife Mary’s mental health.
• 1790: Committed his wife to the Pennsylvania Hospital.
• 1791: Acquired significant assets during the Haitian Revolution.
• 1793: Played a pivotal role during the yellow fever outbreak in Philadelphia.
• 1797-1798: Again took leadership during another yellow fever epidemic.
• 1811: Purchased most of the First Bank of the United States stock and facilities after its charter expired.
• 1812: Opened Girard’s Bank on May 18.
• 1812: Played a key financial role in the War of 1812, significantly supporting the U.S. government.
• 1831: Died in Philadelphia on December 26 after being struck by a horse and wagon the previous year.
• 1831: Buried initially in Holy Trinity Catholic Cemetery; later reinterred at Girard College.

Final Reflections

The success story encapsulated in Stephen Girard’s biography doesn’t end with his death in 1831; his legacy lives on through numerous philanthropic endeavors and institutions that bear his name. His biography highlights the enduring impact that one individual can have on the development and prosperity of a community. Girard’s life and contributions continue to inspire and resonate, cementing his profound influence on American society and history.

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