Amadeo Peter Giannini: Pioneer in America’s Banking Industry

Amadeo Peter Giannini (May 6, 1870 – June 3, 1949) is among the foremost pioneers of the banking industry in the United States. He is best known for founding the Bank of America, one of the world’s largest banks.

When he was 13 years old, he dropped out of school and took a full-time job with his stepfather’s company, L. Scatena & Co., as a produce broker. He subsequently worked in various capacities as produce dealer and commission merchant in the Santa Clara Valley, a business where he was known for his savvy business skills.

But he eventually sold his business interests in L. Scatena & Co. to manage his father-in-law’s estate including an interest in Columbus Savings & Loan. He eventually came out of his early retirement to become a director in the company.

At the time, all the banks catered to the interests of the wealthy and well-connected set while the middle class was left to its own devices, banking-wise. Giannini wanted to provide banking services to the middle class and the immigrant population but he met opposition from the other directors.

He quit Columbus Savings & Loan and started his own bank, the Bank of Italy, on 17 October 1904 in San Francisco in a converted saloon. The Bank of Italy offered banking products and services including savings accounts and loans to hardworking immigrants, among other underserved individuals, usually on the basis of their character instead of their wealth – and the rest is history.

By 1916, Bank of America had over 500 branches across California. In 1928, Bank of Italy merged with the Bank of America with the new bank now known as Bank of America. Giannini became the chairman of the board until his retirement in 1945.

He is credited for being the inventor of several modern banking practices including the holding company and transnational structures. He is also among the first bankers to provide banking products and services to middle-class Americans. He has nurtured several industries with his banking support including the film (Walt Disney), automobile (Fiat), and technology (Hewlett-Packard) industries.