Commercial banks, as we understand them, did not come into being until the 16th century, A.D.
Two thousand years before the birth of Christ, the ancient Babylonians were using deeds, leases of land, wills, accounts, notes, mortgages and receipts for storage. These were engraved in clay tablets, which were then baked until hard.
Interest was set at twenty per cent for loans of money measured weights of silver or gold. At this time wages for skilled workmen were equivalent to about thirty-five cents a month, based on wheat that sold for seven cents a bushel.
There were no banks in the strict sense of the word, but certain powerful families carried on the business of lending money. Loans were made on signatures, property and crops, which were mortgaged to insure repayment.
