The Nilambur Kovilakom represented by the Senior Raja Sri. T.N. Manavedan Thirumulpad and 49 other members with a share capital of Rs500/-established the bank way back in 1939 with the noble aim of allowing the people of Nilambur to access banking facilities at a time when most parts of the nation had yet to come to terms with development. The founding fathers laid great emphasis to start the bank in the co-operative sector which at that time was in an infant stage in order to encourage thrift and provide credit among all sections of society.