Bank History

The earliest precursor of modern banking is assumed in Mesopotamia. There, you probably already knew from the second century BC settlement of the accounts receivable, the accounting for deposits and loans, checks and change. Already in 1327, the Islamic hawala financial system from legal scholars Abu Bakr b. Mase-ud al-Kasani shown as the Institute of Islamic law. In Europe, the first pan-European banks flourished in the 13th Century, when Florence rose to a trading power and the local banking business to flourish especially began. As the original product wholesalers, commission agents or agents turned to the first bankers of the goods with the business-related credit and foreign exchange transactions, the banking business. One of the first and then the most important banking families were the Bardi, the Peruzzi and the Acciaiuoli from Florence. This entertained the early 14th Century offices in virtually all major cities of Europe and held de facto monopoly of the papal finances. When the English King Edward III. refused in 1345 to repay its Hundred Years' War by the accumulated debts, they ran into huge difficulties and eventually lost their influence. After the bankruptcy of the former main banking houses Vieri di Cambio de 'Medici 1348-1392 built an extensive bank has several branches in major European cities. Among his pupils and partners later, there was also his nephew, Giovanni di Bicci de 'Medici, who led the first store in Rome and took over the 1393rd While the once very successful bank of Vieri di Cambio de 'Medici, went down after his retirement of 1393, under the leadership of his two sons, his nephew, the bank was extremely successful. Two years after the death of his uncle moved Giovanni di Bicci de 'Medici to Florence in 1397 its activities and founded the Banco Medici. This was the basis of the subsequent rise of the Medici, one of the most powerful families of that time in Europe [1]. Founded in 1407 in Genoa, the Banco di San Giorgio. In contrast to the previous family houses bank, this bank was organized in a society like form. It is considered one of the oldest banks in the world and jointed long time unique in their way as Disconto and Beaming Bank. 1805 was closed by Napoleon after his seizure of power. 1462 Perugia in the first Monte di Pietà was founded, many more were in various Italian cities. These were independent. The Monte di Pietà had been in those days established by the Franciscans as pawnshops to provide financial support to such poor and needy people, while the former banking families like the Medici or Strozzi particularly the related with the trade business credit and exchange business dedicated. The 1472 as Monte di Pietà was founded in Siena Banca Monte dei Paschi di Siena is the oldest existing bank in the world. Banks have been necessary in a piece economy, as the achievements of the subjects under of money were exchanged. The mediators of these cash flows are the financial institutions. Furthermore, they ensure a balance between investment needs and credit needs. Credit institutions are obliged by reason of their importance in the business circle as a rule to a number of national and international legal and regulatory requirements (for example, the occupation of the management, in accounting, etc.), and are usually also the banking supervision by a specially competent authority.