Ottawa’s first bank was established over a century ago. It has a unique history of formation and distinctive traditions. In the 19th century, opening a bank was a bold decision, but early adoption of innovations and leadership contributed to the city’s rapid development, the growth of various urban communities, and the establishment of partnerships. Read more on ottawa1.one.
Establishment of the Bank
During the winter of 1864 and early 1865, several meetings of local businessmen took place in Ottawa. They had heard a lot about the banking reform that came into effect in 1864 and was actively implemented in many Canadian cities. The purpose of these meetings was to discuss this reform and the potential creation of a state bank for Ottawa residents.
In the 19th century, there were already more than 600 banking institutions operating across Canada.
Following productive discussions in early 1865, special subscription books were created in the city. Through these, local businessmen quickly raised $100,000. These funds served as contributions from 50 local residents toward opening the bank. The currency contributed by locals in 1864 was overseen by Freeman Clarke. Once the required amount was collected, Clarke issued a special charter for Ottawa’s first national bank. The funds were used to purchase a building for the bank’s operations. The building, located on Main Street, belonged to a local businessman named Cushman, who later became a cashier at the newly established bank.
In the summer of 1865, the city held the grand opening of its first bank. This was not just the first bank in Ottawa but also the first state bank. The bank’s employees were highly responsive to customer needs, earning it an excellent reputation and public support from the outset.
Bank’s Success
Throughout its history, the bank never declared default, even during the most challenging times. This played a crucial role in its development, as the bank survived several economic downturns, including the Panic of 1873, the financial crisis of 1893, the Great Depression from 1929 to 1932, and the mortgage crisis of 2007–2008. Thanks to the expertise of its bankers, the institution successfully overcame these obstacles.
A mural depicting the bank’s early days is located near the entrance of the old bank building. For Ottawa residents, the mural represents a valuable historical landmark and a reminder of the city’s first state bank.
Bank Expansion
Over the years, the bank continued to grow. Customer trust was its most valuable asset, helping it achieve great success. More and more people began using banking services, leading to the need for expansion. In 1907, the bank underwent renovations, nearly doubling the size of its building.
As the number of clients increased, the bank’s management had to make further expansion decisions. In 1921, the bank acquired several former retail buildings located near the bank’s original location.
Another major expansion occurred in 1940. It was so extensive that every detail of the state bank’s renovation was documented in a 32-page publication by the Ottawa Republican Times. The publication described every material used, including the amount of paint and tons of concrete required. This detailed report helped familiarize the public and potential clients with the bank’s transparent operations and impeccable reputation.
As the number of clients grew, the bank gained greater public trust. Its successful operations contributed to the emergence of new businesses in the city.
Banking Innovations in the Mid-20th Century
1954 was a breakthrough year for the bank. A major renovation was carried out at the main banking center, and the bank’s management opened a dedicated bus terminal. This terminal became a predecessor to the modern-day drive-through banking system. More than a thousand residents used the terminal’s services. The bank’s marketing efforts targeted city dwellers who owned cars, primarily local businessmen who needed vehicle security services.
The bank continued to strengthen its reputation over the years while successfully implementing innovations. During the 1970s and 1980s, the management decided to expand again, opening new branches across the city.
Expansion into America
Even in the early 21st century, the bank continued expanding by opening new branches and offices. In 2003, the first branch of Ottawa’s state bank was established in Illinois, USA. Within two years, another branch was opened, and by 2018, a full-scale loan office had been launched.
High-quality customer service and strong client trust allowed the bank to grow steadily over several decades. However, its management aimed even higher. In 2014, the bank implemented a strategy to increase profitability. Within four years, earnings per share grew from $1.28 to $5.68. Thanks to the expertise of its banking professionals, the bank ranked among the top 200 banks in America.
In 2021, the bank’s management replaced its original name, Ottawa National Bank, with American Commercial Bank & Trust. This rebranding was the result of the bank’s long-term expansion, which had begun in the mid-19th century. Over time, it began serving not only Ottawa residents but also customers from other cities and countries, making the name change necessary. The first bank in Ottawa continued operating on La Salle Street but under its new name.
The history of Ottawa’s first bank spans over 150 years. Throughout its existence, the bank has successfully navigated financial crises, provided high-quality services to its clients, continually evolved, implemented innovations, and expanded first within Ottawa and later across Canada. By the 2000s, its expansion reached beyond Canada’s borders. Over its century-long history, Ottawa’s first national bank has established itself as one of the most successful and reputable financial institutions.