Pioneer Financial Institutions - Past And Present Banks - Story of the Foundation Upon Which the Financial Stability of the County Is Established - History, Officers and Official Statements - Biography

The first effort of the pioneer was to secure his location and to there erect a habitation. The question of livelihood was one of immediate importance, and no sooner was the pioneer and his family provided with a place in which to live, however poor or temporary, than he began to break the ground for crops. But even in the most primitive community, money is a vital need. The money lenders followed fast in the footsteps of the pioneer. Before long it became apparent that there must be some sort of an institution of financial exchange. Private banks were usually established as an adjunct of some other business by lawyers, real estate agents, grain dealers and others. Some continued for a few years only, but others gradually assumed the importance of national or state institutions. This, to a large extent, is true of the early history of Renville county. Today the county is on a sound financial basis, and the prosperity of the community is shown by the financial statements of the various banks which handle the money of the people at large. The county now has eighteen banks -- three of these national banks, and fifteen state banks.

The national banks are: The First National Bank of Renville, The Peoples First National Bank of Olivia, and The First National Bank of Fairfax.

The State Banks are: State Bank of Buffalo Lake; Farmers State Bank of Buffalo Lake; State Bank of Bird Island; Renville County State Bank of Bird Island; Danube State Bank; State Bank of Fairfax; Citizens State Bank of Fairfax; State Bank of Franklin; Citizens State Bank of Franklin; State Bank of Hector; Farmers and Merchants State Bank of Hector; State Bank of Morton; New State Bank of Morton; Olivia State Bank; Farmers State Bank of Olivia; Renville State Bank; O'Connor Brothers State Bank of Renville; State Bank of Sacred Heart; Farmers State Bank of Sacred Heart.

The first bank in Renville county was a private bank, started at Beaver Falls, by Hans Gronnerud, and continued for many years. Donahue & Paine started a bank in Beaver Falls in 1878. They moved it to Bird Island, and in 1880 it was organized as the Renville County State Bank. This is still in existence and is the oldest bank in the county. The next banks in the county were the O'Connor Brothers, Bankers, of Renville (now known as the Renville State Bank), and the State Bank of Hector, both started in 1887. Edward O'Connor started a private bank at Sacred Heart in 1888. It is now the Farmers State Bank of Sacred Heart. In 1889, Peter W. Heins started the People's Bank at Olivia. This is now the Peoples First National Bank of Olivia. In 1889, a bank was started at Fairfax, with Dr. J. A. Beard, of Redwood Falls, as president, and F. A. Gray as cashier. It failed in 1892.

There have been but two bank failures in Renville county, the failure of Hans Gronnerud's private bank at Beaver Falls, and the failure of the bank of Beard & Gray at Fairfax.