The history of the bank. Bank: how was it created?

2024 Author: Howard Calhoun | [email protected]. Last modified: 2024-01-17 18:37

Banks give the population undeniable advantages. They accumulate financial resources, carry out various payment transactions, issue loans and service various categories of securities. This review will consider the history of the emergence of banks.

Origin of banks

The first usurers began to appear in ancient times. They lent valuable things to their tribesmen with the obligation to return them after some time with interest. After that, financial organizations began to form, which performed various operations with valuable items. This is how the history of the bank was born.

Bank (“banko”) in Italian means “money table”. The very first body in the modern concept was the Bank of Genoa (1407). In England, the first financial body was created in 1664, after which commercial and economic policy immediately began to be carried out. In the US, this event occurred in 1781 (with the advent of the bank in Philadelphia).

Appearance of banks in Russia

The history of banks in our country dates back to 1665. Governor Athanasius Ordin-Nashchokin made an attemptestablish the organization in question, but his efforts were not approved by the government. The idea was realized in 1733, during the reign of Anna Ioanovna, who allowed to issue a loan. In 1754, under Elizabeth in St. Petersburg, a state and merchant bank was created. Jewelry or possessions with serfs, as well as the guarantee of rich people, were considered security. In 1757, bill circulation was introduced in Russia. In 1769, during the reign of Catherine II, banknotes were introduced. Over time, the history of Russian financial authorities was supplemented by new events.

Information on the formation of commercial banks

The history of commercial banks begins in the distant past. The first organization was established in 1817. It was intended for the merchants and carried out barter operations and payments. Later, it became possible to issue a short-term loan for the production sector, and traders could take out loans to replenish working capital, production factors, and pay salaries. The terms of loans gradually increased.

In Russia, the first commercial bank appeared in St. Petersburg (1864). Its authorized capital was 5 million rubles. Banks began to be officially registered in August 1888. They influenced the economic situation in the state, but at first they enjoyed very low confidence and many people did not dare to invest their savings there. Over time, the situation changed and customers began to often turn to commercial banks, so they became more popular. Already a year later inthere were 43 of them in our country. Later this number increased.

Later, two laws were adopted, which informed about the conditions for opening a bank and methods of control over them. An act on a two-tier banking system was adopted for execution, headed by the Central Bank. The story is further supplemented by a new event: commercial organizations received an independent status in attracting deposits. They are officially allowed to engage in credit policy, as well as have their own interest rates. The organizations in question received the right to carry out foreign exchange transactions on a documentary basis. Despite the fact that the history of commercial banks is rich in changes, the structure of financial institutions remains constant.

Formation of the banking system. 1st and 2nd stages

Russia lagged far behind Western countries, so the development of banks took place in several stages. The first begins with the creation of a state loan bank (XVIII century) and lasts until 1860. Since the development of the economy required an expansion of the possibility of lending, already in 1754 banks were created for the nobility and merchants. However, most of the loans were not returned, so these organizations ceased their activities.

At the second stage (1860-1917) the State Bank of Russia was created, simultaneously with which many credit societies were opened. In 1872, the banking system included public city, land and private organizations. In 1880 there were 49 branches, 83 creditcompanies, 729 savings and loan partnerships, 32 commercial banks. There were offices, change shops, trading houses.

Expansion of the banking system. 3rd-5th stages

The First World War prevented the active growth of banking activity, but after the end of hostilities, it gradually recovered. The third stage began in 1917 and lasted until 1930. After the reorganization of the banking structure, the State Bank of the RSFSR (1921), joint-stock companies, sectoral and regional financial bodies were created. Many new money vaults have formed.

At the fourth stage (1932-1987), a national bank for short-term loans and a system for capital investment appeared. During this period, cash savings increased to 968 billion rubles. and formed the first mortgage financial institutions that provide loans secured by real estate.

The fifth stage lasts from 1988 to the present. During this period, there was a gradual improvement of the banking system. It has become more developed as the number of branches at home and abroad has increased. The policy of the Central Bank was aimed at the stability of the banking system.

How did Alfa-Bank develop? (1990-2002)

The history of Alfa-Bank begins in 1990. For four years, the infrastructure was formed, the first clients and partners appeared. In August 1995, the crisis of the interbank market began. Thanks to the right financial policy andto a competent asset management method that strengthened financial stability, this period did not affect Alfa-Bank, which successfully continued to gain credibility with Russian and foreign partners.

Alfa-Bank: historical data since 1997

In 1997-1998, the financial institution in question held high positions in all leading international rating organizations and was the first among its competitors to issue Eurobonds. During this period, the business merged with Alfa Capital (an investment firm). This is how the leasing agency Alfa-Bank LLC appeared. In 1999, business growth and the improvement of the regional network are noticeable. Two years later, Alfa-Bank continues to diversify, and the Alfa-Insurance trademark appeared on the domestic market.

How did Alfa-Bank develop after 2002?

In 2003-2007, the history of Alfa-Bank is supplemented by new events: the expansion of branches, the issue of subordinated Eurobonds, the creation of a new version of the Alfa-Forex web page. The first branches of the new retail format were opened in Tolyatti, Nizhnevartovsk, Murmansk, Saratov, and Lipetsk. During this period, the Alfa-Click Internet Bank was formed, the Alfa-TV service was created, and a videoconferencing system was introduced. Improved positions in the credit rating and received new awards.

In 2008-2012, new achievements appeared: the issuance of MasterCard and Umembossed payment cards, the launch of a program of targeted corporate financing for wholesale deliveries of cars, the creation of a branded plastic card, new branches were opened. A banking application for smartphones and Android has appeared, new improved technologies have been introduced. Many prizes and awards were presented.

Brief historical data on the Bank of Moscow

The Bank of Moscow, whose history dates back to the spring of 1994, was originally registered as a commercial bank. Later, the organization received many awards, and in 2004 it became known as the Bank of Moscow.

In April 2010, by order of Yuri Luzhkov, the bank was allocated 7.5 billion rubles from the city budget for the issue of shares, 47% of which were sold to VTB. The Bank received the Retail Finance 2010, Financial Olympus awards, and also won the third annual Collective Investment Market competition. This is how the history of the bank developed.

The Bank of Moscow is currently represented in almost many regions of Russia. As of April 1, 2014, 172 divisions operate in the regions, and 136 offices are located in Moscow and the region. The organization in question has a network outside the country: JSC "BM Bank" operates in Ukraine, "Estonian Credit Bank" in Estonia.

Central Bank Data 1990-2003

The history of the creation of banks has data on the Central Bank. It was formed on 1990-13-07 and was originally called the State Bank of the RSFSR. A few months later, an order was issued to create a legal entity of a financial organization.

In 1991-1992, a wide network of commercial organizations was formed, there were changes in the account system,cash centers), computerization has been introduced. The period under review was the beginning of the sale and purchase of foreign currencies and the setting of quotations against the ruble.

The history of the bank (Bank of Russia) has the following data: in 1992-1995, they created a system of supervision and verification of commercial organizations in order to stabilize the banking system. With the onset of the economic crisis (1998), the Bank of Russia carried out restructuring in order to improve the work of commercial financial institutions and increase their liquidity.

In 2003, the organization in question began a project to improve banking controls and prudential reporting. A number of regulations were adopted in the following year to counteract artificially high or low mandatory standards.

Central Bank Development from 2005 to 2011

In 2005, the Central Bank, whose history is of interest to many, set itself the following goals: to strengthen the protection of the interests of depositors, increase competitiveness, prevent dishonest commercial activities, and strengthen the confidence of creditors, depositors, investors. Three years later, due to the crisis in mortgage lending and the decrease in liquidity in international markets, monetary policy changed. The financial body has concentrated its efforts on preventing the mass bankruptcy of organizations.

History of the Bank of Russia reports that in 2009 interest rates were repeatedly reduced, including refinancing (from 13% to 8.75%). Formeda mechanism to support the interbank market during the economic crisis. The Bank of Russia provided loans to other financial institutions without collateral, but this decision was changed a year later. Interest rates have been reduced (from 8.75% to 7.75%). Since mid-2010, inflation began to rise and interest rates increased by 0.25%. Further, monetary policy became more stringent. This is how the history of the bank developed. The Bank of Russia is currently continuing to improve financial mechanisms and introduce innovative systems that ensure stability.

The history of the development of banks: credit rating

Customers who are going to take a loan from a bank should find out detailed information about it. Not only the reviews of previous borrowers are important, but also the credit rating: the higher it is, the more reliable the financial institution. All this can be viewed on the relevant web resources, but part of the data as of May and June 2014 is provided in this review.

Ranking	Bank name	Indicator (thousand rubles)	Indicator (thousand rubles)	deviation
		06.2014	05.2014	thousand rubles	%
1	Sberbank of Russia	17 916 590 200	17 827 517 760	+89 071 420	+ 0, 5
2	VTB	6 255 620 150	6 247 881 360	+7 738 790	+ 0, 12%
3	Gazprombank	3 912 130 000	3 909 019 620	+3 109 880	+ 0.08%
6	Bank of Moscow	1 910 534 000	1 858 973 470	+51 560 042	+2, 77
7	Alfa-Bank	1,553,548,000	1 533 393 750	+20 154 490	+1, 31

Are there any banks that lend to bad credit customers?

A person can apply to small banking institutions that do not require information about previous stable payments. Usually these are young organizations whose goal is to attract customers by any means. They can give out a sum of money even to people with an outrageous credit history, but they do it for high interest rates. Modern life is hard to imagine without a loan. Sometimes the client cannot pay the required amount on time (job change, reduction, salary reduction, etc.), and even if the debt is returned later, payment data is entered in a special database informing about the unreliability of the citizen. If he needs againto take loans, in whatever banks he turns to, with a bad credit history it is very difficult to get a loan again. However, there is a way out of this situation.

Banking technologies do not stand still, but are in constant development. Thus, the quality of service is being improved, many financial transactions are being simplified, and the system of reliability is improving. Therefore, in 5 years the banking system will certainly rise to a new level.