It is so good to see the new Bank 7 building going up. Both Bank 7 and the First State Bank in Watonga are heavily invested in the community and area. The Friends of the Ferguson Home thank Bank 7 and First State Bank for their continued generous support! Elva Ferguson writes in “They Carried the Torch:…, that initially the town of Watonga when founded had no bank. “Watonga, my home town, has had its share in banking interest. I recall how delighted we all were when, after being bankless for over two years after the town was established at the opening of the Cheyenne and Arapahoe reservation, we found that a bank was to be established. Previous to this time, business houses, the county treasurer and the post office were forced to send their money to a town thirty miles away for deposit. With outlaws and bandits in the hills it was always a gamble as to whether their precious cash would ever reach its destination. What a relief it was … to be able to walk int a bank and transact their business and feel that the risk of long-distance banking was over.
In May, 1894, two years after the opening, J.N. Beacom, a prominent railroad man of Kansas, and his son, Charles Beacom, of El Reno, established the Farmer and Merchants Bank at Watonga. Both Blaine and Dewey county treasurers used the Beacom bank as depositories, as did business men of Watonga and surrounding towns. J.N. Beacom, the president, returned to his work in another state, leaving his son, who was the cashier, in full control.
The crash came late in Sept., when forged county warrants and protested drafts made their appearance. J.N. Beacom came to Watonga, but conditions were so bad that he could not face his son’s dishonest and disgrace… The community suffered for several years from this bank failure. For the next four years the town was without a bank. The Yeager and Black outlaws made their headquarters in the canyons and caves of the gyp hills a few miles north and east of Watonga and hold-ups were frequent”.
“On one occasion County Treasurer Dillon was tipped off that a plan was being made to rob his safe…It was tax-paying time and considerable cash was on hand. Mr. Dillon conceived the idea of distributing the money among his friends for safe keeping. He brought several thousand dollars to Tom Ferguson, editor of the Watonga Republican…However, before outlaws could carry out their plans of robbing the county treasurer, the U.S. Marshal, aided by the local Antihorse Thief Association, attacked them along Salt Creek and some of the A.H.T.A. men were wounded. Yeager’s men were driven to the hills and Black was killed near Longdale.