History of bank

The history of banking began with the first prototype banks which were the merchants of the worl who gave grain loans to farmers and traders who carried goods between cities. Coins of varying sizes and metals served in the. Even before currency emerged , starting with the first minted coins, and then adding what were known as banknotes, paper currency, banks still were around to manage the accumulation of assets. In fact, even before civilization existe there were ‘bank-like’ systems. It is nigh on impossible to cover the complete history of banks in such a short piece, but we are going to give you a decent overview of how the banks came to be.

The idea of banks began as long ago as 8BC in Babylon.

In those days moneylenders made loans to people. In Greece and Rome banks made loans and accepted deposits. They also changed money. In the Bible Jesus famously drove the money changers out of the temple in Jerusalem). In the 16th century a German family called the Fuggers from Augsburg became very important bankers.

See full list on localhistories. In England banks developed in the 17th century. Sometimes people deposited their money with goldsmiths for safety.

The goldsmiths issued a note promising to pay the bearer a certain sum on demand.

In time people began to exchange these notes instead of coins because it was easier and safer. Goldsmiths began to lend the money deposited with them in return for a high rate of interest. Governments also needed to borrow, especially in wartime. The government borrowed money from wealthy individuals and later repaid them with interest from taxation. However not only individuals borrowed money.

A group of financiers joined together to provide the money required to set up the bank and loan the government 1. When banks merged they lost the right to issue bank notes. What was the first bank in history? Where was the first bank established?

How many banks are in the United States? Egyptian and Greek Origins: Temples Protect Precious Metals As long as there has been some form of currency, there has been a need to store it for safe-keeping. Records show that in both Ancient Greece and Egypt, banking systems were discovered as far back as the th century B. Egyptians use temples as banks to protect riches from thieves. The present era of banking can be traced to medieval and early Renaissance Italy , to the rich cities in the centre and north like Florence , Lucca , Siena , Venice and Genoa.

The Bardi and Peruzzi families dominated banking in 14th-century Florence, establishing branches in many other parts of Europe. Its first loans were geared toward the postwar reconstruction of western Europe. In fact, even before civilization existe there were ‘ bank -like’ systems.

For as long as civilization has existe banking has existed.

The complexity of their design was intended to foil counterfeiters. History of banking and finance goes back to the early stage of the human civilization, when it was growing in the cradles of different cultures. At the very hour, when the early people learned to exchange commodities, these two concepts were born.

History of finance Globalization is circulating the Western form of finance in the whole universe. The bank that saved Nantucket. The bank continued to grow in the years that followed.

As regional banks proliferated across the country in the years that followe a number of other predecessors were born. Bank of America logo.