In ancient Mesopotamia, thousands of years ago, the earliest system of banking allowed farmers and traders to borrow money from a bank. During this time, the purpose of banks was not to keep the money safe, but was for people to receive loans, enabling them to do things like build fences or travel in order to trade. Later, the farmer or trader would pay the bank back, which was a little bit more than the original amount they had initially borrowed. That small amount is called interest. In addition, when people borrowed money, the bank took something valuable from them until they paid back the loan, to make their agreement credible. This is called collateral. In this way, banks lending money to people create flourishing economies. Because of the myriad collateral items, banks needed to have a secure place to keep them. Banks used strong doors and locks to protect the money, but soon they improved and started using things like unbreakable glass, enforced steel, video cameras, and secret alarms. Eventually, people decided to keep their money with the bank to hold it safe. In the case that banks fail, FDIC insurance was created so that customers will still get their money. Saving money also soon became part of a bank’s purpose. People earn a little extra money when they put their savings in a bank. Sometimes people are reluctant to put their money in a bank because banks can be slow, they require a certain amount of money, and necessitate fees when conditions are not met. It’s fun to learn about banks, but foremost we should try to make them better.