<ul>
<li>The earliest banking systems date back to 8000 BCE when trade was recorded in a log, keeping a written note of the transactions.</li>
<li>Mesopotamia was the home of the first proper banks, with lending activities in temples and palaces. As cash wasn’t invented yet, seeds and the produce of farmers was used.</li>
<li>Records of credit exist in the Asian civilization, hinting at banking activities.</li>
<li>The Temple of Artemis was a deposit for cash and there were records of debts held there.</li>
</ul>

The Earliest Banking Systems

Brokerage and loans started in an advanced form with merchant banks, though crop loan was still used for lending and credit activities.
Italy was the home of the earliest banks (which evolved into the modern banks), and even the word ‘bankrupt’ comes from the Italian word ‘Banca Rotta’.

Banking Systems In The Medieval Period

<ul>
<li>London was where the biggest action was in the banking world, with the Goldsmiths of London being the first proper bank. Services like vaults, bank debts, deposits (made inside the bank) and loans became popular.</li>
<li>Banknotes were first offered by the Bank Of England and were called promissory notes. Soon other services like cheques and overdrafts followed.</li>
<li>The Rothschilds started their financing business in the 19th century, eventually becoming the richest family in history.</li>
</ul>

Banks Between The 17th And The 19th Century

<ul>
<li>Post-WWII, banks started lending money to other countries (like World Bank) and retail banking flourished across the country.</li>
<li>Technology started being a part of banking with SWIFT payments and ATM machines coming in the picture.</li>
</ul>

Banks In The 20th Century

<img src="https://www.worldbank.org.ro/images/history-of-banks-banner.jpg" alt="Romania's biggest banks" width="785" height="172">For as long as civilization has existed, banking has existed. In fact, even before civilization existed, 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.<h2>Earliest Banking Systems</h2>It is impossible to say exactly when banking properly began. We do, however, have evidence that it may have started to properly occur around 8000 BC, although these were not banking in the way that we see things now. It was more record keeping of trades that were being made. There may have been specific institutions developed specifically for banking, but we can’t possibly know for sure. All we have records of are people making trades and record their trades down in a log.<img src="https://www.worldbank.org.ro/images/bank-hand.jpg" alt="Earliest Banking Systems" width="450" height="284"><h2>The Earliest ‘Proper’ Banks</h2>The first proper banks would have sprung up in ancient Mesopotamia. We have evidence that there were temples and palaces throughout Babylonia and other cities which provided lending activities. Although, a lot of this was not in the form of financial lending. Instead, banks would lend out seeds and the like. The idea is that by <a href="https://www.selflender.com/blog/online-lending-history" rel="nofollow" dir="ltr">lending out seeds</a>, farmers would have products that they could work with. When it came to the harvest, the farmers would pay back their seed loan from the harvest.There are also records of credit from around this time. In fact, we have a history of credit and other banking activities throughout Asian civilization. The Temple of Artemis, for example, was a deposit for cash and there were records of debts held here. Mark Anthony plays a major role in these banks. He is said to have stolen cash from these banks.<img src="https://www.worldbank.org.ro/images/seeds-prober-banks.png" alt="Packet with seeds" width="450" height="465"><h2>Banks During the Medieval Period</h2>Banks really started to come into their own during the medieval period. Most of these banks were <a href="https://www.investopedia.com/terms/m/merchantbank.asp" rel="nofollow" dir="ltr">merchant banks</a>, however. Again, this was a lot about crop loan and for financing expeditions across the silk routes. Some of the earliest forms of brokering took place in these banks.It is actually from around this time that bankruptcy started to spring up. The earliest banks were in Italy. Bankrupt comes from the word ‘banca rotta’ in Italian. When a trade failed to deliver on their promised route, then they would have been declared ‘banca rotta’.<img src="https://www.worldbank.org.ro/images/merchant-bank.jpg" alt="Merchant bank - underwriting, loan services, financial advising and fund raising services" width="450" height="298"><h2>Modern Banking in the 17th to 19th Centuries</h2>Perhaps the biggest changes to the world of banking came in the 17th to 19th centuries, particularly in London. In fact, the way in which banks work will be based completely around these banking concepts, i.e. issuing bank debt, allowing deposits to be made into banks etc.The first ‘proper’ bank could be said to be the Goldsmiths of London. It is now a bank, but back then it was more a series of vaults which charged a fee for their services. People would deposit their precious materials into these vaults, and they would be able to collect them. Over time, Goldsmiths started to provide loans.The first bank to offer banknotes was the Bank of England. Bank notes were, initially, promissory notes. You would deposit cash into the bank and be offered a note to say that it was there. Over time, the bank started to offer cheques, overdrafts, and traditional banking services. This was important when the Industrial Revolution in the United Kingdom was starting to get into ‘full swing’.<img src="https://www.worldbank.org.ro/images/goldsmiths-of-london-bank-of-england.jpg" alt="Goldsmiths of London and Bank of England in 17th to 19th century" width="450" height="438"><h2>Rothschilds</h2>International financing in the 19th Century took hold due to the Rothschilds. They got started by loaning money to the Bank of England and purchasing stocks. Over time, the Rothchild family (still the richest family in history), started to invest in multiple projects around the world and financing military efforts. They were also taking in deposits from people and creating new banks.<img src="https://www.worldbank.org.ro/images/rothchild-family-19th-century.jpg" alt="Rothchild family in 19th century" width="450" height="331"><h2>20th Century</h2>It was in the 20th Century when banks started to pop up in the way we know them properly. Post-World War II, banks started to lend money to countries as a whole, and <a href="https://www.worldbank.org.ro/about-banks-types-of-banking#retail-banking" dir="ltr">retail banking</a> started to become a proper ‘thing’. In fact, a lot of the technology that was developed throughout the 20th Century is still in use today, e.g. the ATM systems and SWIFT payments. <img src="https://www.worldbank.org.ro/images/20th-century-bank.jpg" alt="A bank from 20th Century" width="450" height="437">

For as long as civilization has existed, banking has existed. In fact, even before civilization existed, there were ‘bank-like’ systems.

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For as long as civilization has existed, banking has existed. In fact, even before civilization existed, 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.

It is impossible to say exactly when banking properly began. We do, however, have evidence that it may have started to properly occur around 8000 BC, although these were not banking in the way that we see things now. It was more record keeping of trades that were being made. There may have been specific institutions developed specifically for banking, but we can’t possibly know for sure. All we have records of are people making trades and record their trades down in a log.

The first proper banks would have sprung up in ancient Mesopotamia. We have evidence that there were temples and palaces throughout Babylonia and other cities which provided lending activities. Although, a lot of this was not in the form of financial lending. Instead, banks would lend out seeds and the like. The idea is that by <a href="https://www.selflender.com/blog/online-lending-history">lending out seeds </a>, farmers would have products that they could work with. When it came to the harvest, the farmers would pay back their seed loan from the harvest.

There are also records of credit from around this time. In fact, we have a history of credit and other banking activities throughout Asian civilization. The Temple of Artemis, for example, was a deposit for cash and there were records of debts held here. Mark Anthony plays a major role in these banks. He is said to have stolen cash from these banks.

Banks really started to come into their own during the medieval period. Most of these banks were <a href="https://www.investopedia.com/terms/m/merchantbank.asp">merchant banks </a>, however. Again, this was a lot about crop loan and for financing expeditions across the silk routes. Some of the earliest forms of brokering took place in these banks.

Modern Banking in the 17th to 19th Centuries

It is actually from around this time that bankruptcy started to spring up. The earliest banks were in Italy. Bankrupt comes from the word ‘banca rotta’ in Italian. When a trade failed to deliver on their promised route, then they would have been declared ‘banca rotta’. Perhaps the biggest changes to the world of banking came in the 17th to 19th centuries, particularly in London. In fact, the way in which banks work will be based completely around these banking concepts, i.e. issuing bank debt, allowing deposits to be made into banks etc. The first ‘proper’ bank could be said to be the Goldsmiths of London. It is now a bank, but back then it was more a series of vaults which charged a fee for their services. People would deposit their precious materials into these vaults, and they would be able to collect them. Over time, Goldsmiths started to provide loans.

The first bank to offer banknotes was the Bank of England. Bank notes were, initially, promissory notes. You would deposit cash into the bank and be offered a note to say that it was there. Over time, the bank started to offer cheques, overdrafts, and traditional banking services. This was important when the Industrial Revolution in the United Kingdom was starting to get into ‘full swing’.

International financing in the 19th Century took hold due to the Rothschilds. They got started by loaning money to the Bank of England and purchasing stocks. Over time, the Rothchild family (still the richest family in history), started to invest in multiple projects around the world and financing military efforts. They were also taking in deposits from people and creating new banks.

It was in the 20th Century when banks started to pop up in the way we know them properly. Post-World War II, banks started to lend money to countries as a whole, and <a href="https://www.worldbank.org.ro/about-banks-types-of-banking#retail-banking">retail banking </a>started to become a proper ‘thing’. In fact, a lot of the technology that was developed throughout the 20th Century is still in use today, e.g. the ATM systems and SWIFT payments.

The History of Banks | How They've Changed through the Years

The Earliest Banking Systems

Banking Systems In The Medieval Period

Banks Between The 17th And The 19th Century

Banks In The 20th Century

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