Jesse and his first cousin, Zerelda "Zee" Mimms (pic right) married on April 24, 1874, and had four children: Jesse James, Jr. (b. 1875), Gould James (b. 1878), Montgomery James (b. 1878), and Mary Susan James (b. 1879). Twins Gould and Montgomery died in infancy. His surviving son was raised by his mother to become a lawyer, and he spent his career as a respected member of the Kansas City, Missouri, bar.
On September 7, 1876, the James-Younger gang attempted their most daring raid to date, on the First National Bank of Northfield, Minnesota (pic left). Cole and Bob Younger later stated that they selected the bank because of its connection to two Union generals and Radical Republican politicians: Adelbert Ames, the governor of Mississippi during Reconstruction, and Benjamin Butler, Ames's father-in-law and the stern Union commander in occupied New Orleans. However, the gang had been casing other locations in the area, as well.
The robbery was thwarted when Assistant Cashier Joseph Lee Heywood, left in charge while the bank officers attended the Philadelphia Centennial Exposition, refused to open the safe, falsely claiming that it was secured by a time lock even as they held a bowie knife to his throat and cracked his skull with a pistol butt. The vault was in fact unprotected at the time of the robbery, the inner door closed but unlocked. Meanwhile, the citizens of Northfield had taken notice of the robbery and were arriving with guns. Before leaving the bank, Jesse James shot the unarmed Heywood in the head. When the bandits exited the bank, they found the rest of their gang dead or wounded amid a hail of gunfire. Suspicious townsmen had confronted the bandits, ran to get their arms, and fired from under the cover of windows and the corners of buildings. The gang barely escaped, leaving two of their number and two unarmed townspeople (Heywood and a Swedish immigrant named Nicholas Gustafson) dead in Northfield. A massive manhunt ensued. The James brothers eventually split from the others and escaped to Missouri. The Youngers and one other bandit, Charlie Pitts, were soon discovered. A brisk gunfight left Pitts dead and the Youngers all prisoners. Except for Frank and Jesse James, the James-Younger Gang was destroyed.
Jesse and Frank went to the Nashville, Tennessee area, where they went by the names of Thomas Howard and B. J. Woodson, respectively. Frank seemed to settle down, but Jesse remained restless. He recruited a new gang in 1879 and returned to crime, holding up a train at Glendale, Missouri, on October 8, 1879. The robbery began a spree of crimes, including the hold-up of the federal paymaster of a canal project in Muscle Shoals, Alabama, and two more train robberies. But the new gang did not consist of old, battle-hardened guerrillas; they soon turned against each other or were captured, while James grew paranoid, killing one gang member and frightening away another. The authorities grew suspicious, and by 1881 the brothers were forced to return to Missouri. In December, Jesse rented a house in Saint Joseph, Missouri, not far from where he had been born and raised. Frank, however, decided to move to safer territory, heading east to Virginia.