The world’s smallest bank?

News

An article by

Andreas Wegmann

Published on

14/03/2024

Updated on

15/03/2024

Reading time

2 min

The size of a bank can be measured according to various criteria:

Total assets: this is a figure based on accounting rules, often used by regulators and industry experts.
Core capital: This is a measure of substance based on regulatory requirements.
Market capitalisation: A good indicator of performance for listed banks.
Business volume: This is a comprehensive indicator of the size of a bank.
Number of employees: The number of employees can also be an indicator of the size of a bank.

Friedrich Wilhelm Heinrich Raiffeisen (born 30 March 1818) was a German social reformer and local government official. He was one of the founders of the cooperative movement in Germany and gave his name to the Raiffeisen organisation. Raiffeisen believed in the power of self-help and self-administration and these principles are still a central component of the co-operative movement today. If everyone stands together, even the “little ones” can keep up with the “big ones”.
At the VR Banking Group, the “strong community” is not just an advertising slogan, but is put into practice every day: none of the members will be let down so quickly. In the case of Raiffeisenbank Gammesfeld eG, the members work hard to ensure that the bank, which is “actually” too small, can continue to exist.

The history of Raiffeisenbank Gammesfeld eG

Raiffeisenbank Gammesfeld was founded in 1890 as “Spar- und Darlehenskasse Gammesfeld “. Until 2009, the bank did not have a computer and the telephone was still a dial telephone. At the end of the 1980s, the banking supervisory authority withdrew its operating licence because the dual control principle could not be implemented. Fritz Vogt, the grandson of the founder and a member of the bank’s Management Board at the time, fought back. In 1990, the Federal Administrative Court in Berlin ruled that it was legal to operate the bank with just one person.

There are numerous articles and media reports about this bank and even a film entitled “Gravel like hay” (“Schotter wie Heu“). The people of Gammesfeld clearly love and appreciate their bank and remain loyal to it.

EBICS and CPG.classic

Until this year, the bank’s payment transactions could be made by post, but DZ-Bank is discontinuing this service. With CPG.classic, the bank now has the option of transferring transactions via EBICS and thus utilises the same technical access as other proprietary users of the DZ-Bank Group. The entire CPG team enjoyed the project and is pleased to make a small contribution to the continued existence of this remarkable bank.