Bank History

The history of Glenwood State Bank should properly begin about one year before the Bank was chartered. In anticipation of securing a charter, the prime mover of the new Bank, Mr. Theodore Aune, had contracted for the construction of a bank building on East Minnesota Avenue. Upon completion the building was purchased from Mr. Aune by Glenwood State Bank for $6,250, which was supposed to be the actual cost of the building and lot. The Bank occupied that building, which is now occupied by Radio Shack, for the first 55 years of its existence. In 1961 the Bank moved to its present location just off Glenwood’s main intersection, next to Corner Drug. In 1983 it went through major remodeling at the same site to establish its Northern European theme. In 1997 more office space was added to the East when Meyers’ Shoes sold their building to the Bank.

The first directors of the Bank were elected at a meeting on April 13, 1907, in the county attorney’s office, as the bank building had not been completed yet at that time. The first Board of Directors was composed of Theodore Aune, J.H. McCauley, Julius O. Grove, Henrik Shipstead, George S. Blood and Olaf Aaberg. Mr. Aune was elected president of the Bank at a salary of $1,200 per year; J.H. McCauley was elected vice-president; and Olaf Aaberg was elected cashier at a salary of $1,000 per year.

The Bank received its charter on May 7, 1907, and the original ledger shows deposits at the end of the first day of business on May 11, 1907, as $2,986.01. At the end of the first year of business, the ledger shows $17,274.51 of "Demand Deposits" and $20,987.11 of "Certificates of Deposit." Checking accounts as we know them had not come into general use. The customers’ accounts showing deposits and withdrawals were posted by hand each day, as were all the other books and records. Below is a chart of our asset and liability growth since we began: