Tallis Worn Over One's Hat and Over Ones Arms

I understand that traditionally one wore one's tallis over one's hat. Additionally it was not folded over one's shoulders but worn down over one's arms. Could you explain why and when it changed?

אָמַר רַב יִצְחָק בַּר יוֹסֵף אָמַר רַבִּי יוֹחָנָן
"הַיוֹצֵא בְּטַלִית מְקוּפֶלֶת מוּנַחַת לוֹ עַל כְּתֵיפוֹ בְּשַּׁבָּת חַיָיב חַטָאת"

רב יצחק בר יוסף said the following in the name of רבי יוחנן, If one goes out from a private to a public domain on שבת with a folded cloak resting on his shoulder, he is liable for a חטאת:

Commentary:
The גמרא refers to a large four-cornered garment similar in size and dimension to the טלית used during תפילה today (ערוך השלחן ס‘ ש“א ס"ק פ“א; see also ערוך השלחן ס‘ ש“א ס"ק ל“א). In Talmudic times, this garment was a normal part of daily attire (ריטב“א). It was generally worn draped over the head and shoulders in such a way that most of one’s body would be covered by it; the sides of the cloak would flow down one’s arms, and the end of the cloak would extend down one’s back towards the floor (see רש“י and ערוך השלחן ad loc.). Here, though, the גמרא discusses a case where the cloak was not worn in this manner. Instead of allowing the cloak to drape behind him, the person lifted the back end of the garment onto his shoulders, in effect folding the cloak in half width-size (רש“י). His purpose in doing so was presumably to guard against the end of the cloak touching the ground and becoming soiled or ripped (see ערוך השלחן ad loc.). Since this is not the normal way the cloak is worn, the person is deemed to be carrying the garment rather than wearing it (see רש“י here and above, חייב חטאת ד“ה דף נח), and carrying from a private to a public domain is prohibited on שבת. [Since the cloak is not usually worn in this manner, the person cannot be said to be wearing the garment (see אורח חיים ס‘ ש“א ס"ק כ“ט, ל‘).]


Wearing one’s טלית folded over one’s shoulders
It keeps one’s טלית/ציצית out of the rain, mud, snow, etc.
It makes sure one’s ציצית do not rip off
It makes sure one doesn’t trip on one’s טלית/ציצית

Wearing one’s טלית down and over one’s arms
One can reach one’s ציצית with ease
One can easily pull one’s טלית over one’s head
one is being מתעטף בציצית
the שליח ציבור‘s traditional mode of wearing a טלית

Rallis

My father O"bm told me that the minhag in Munich was not to fold the Talis on the shoulders, but rather to wear it like a blanket. The Chazzon wore it the same way as the Chazzonim wear it today in Kehilos Ashkenaz. He commented that the boys who came home from Yeshiva - I''m not sure if it was FFaM, Lithuania or Hungary - made fun of the "ignorance" of the people who didn't fold up their Taleisim & let their Tzitzis drag on the floor. The Rokeach says that this isn't a problem, this is quoted in the Darkei Chaim V'shalom (Munkaczer Minhogim) in Paragraph 35 in the footnotes. BTW, the Belzer Rebbe wears his Tallis that way as well! As a little boy my father wore it that way, when I was small he wore it folded on the shoulders - as is done by most of Minhag Lita - and then he went back to the old way.

Yehuda Nathan