In 1886, First State Bank opened its doors for business. It started operating in an office located in a hardware store with capital totaling $15,000. In 1938, assets at the First State Bank were the largest of any town in Nebraska with a population of 1,000 or less.

In 1952, the bank was purchased by the Lauritzen family of Omaha, leading to more than 70+ years of consistent, dependable ownership. This beneficial relationship still exists today.

In 2006, First State Bank added a branch location by purchasing the Harlan County Bank in Alma. In 2012, a third branch location was added in Bertrand with the purchase of the Bank of Bertrand, and in 2022, a fourth location was added with the purchase of Farmers and Merchants Bank of Axtell. These additional locations compliment the banking services currently offered to all First State Bank customers.