The bank opened in 1973 in the 209 professional building until October, 1974 when it moved across the street into the new 9,300 square foot building where the bank is still located today. A new 12,000 square foot two story addition was added in 1998. On April 29, 1996, the bank changed its name from Sioux County State Bank to Iowa State Bank.
The second bank charter purchase by Vogel Bancshares, Inc., was on March 10, 1992 of the Iowa State Bank of Hull, Iowa. The bank originally opened under the name of Baumann Brothers Bank in 1879 in the growing young town of Pattersonville. They then formed a new bank to succeed it on January 1, 1889 named the Iowa State Bank with capital stock of $35,000.
The third bank charter purchase was the Security Savings Bank of Ireton and Craig, Iowa. Security Savings Bank was organized on February 11, 1915 by G.E. Campbell, F.C. Danforth, W.R.Wood, R.H. Campbell and S. Snieder. They were also the first board of directors. The bank also closed during the Great Depression and then reopened in 1934 when sufficient capital was raised and is also the time when G.A. Juffer became President and Executive Officer in 1954, and then became Chairman of the bank until the sale of the Bank to Vogel Bancshares, Inc. on July 31, 1996.
At the time of reorganization of the bank in 1934, the bank had $18,000 in capital and $78,000 in deposits, and $42,200 in loans and had grown to $20,779,000 in deposits, $8,671,686 in loans, and $25,297,000 in total assets when the bank was sold to Vogel Bancshares, Inc. On December 1, 1996, the bank changed its name from Security Savings Bank to Iowa State Bank. The bank then merged with the Iowa State Bank of Orange City on December 31, 1997 to form one bank with $87,618,000 in assets and four separate locations in Alton, Craig, Ireton and Orange City.
On March 26, 2004, Iowa State Bank purchased the American Interstate Bank branch in Paullina, Iowa from the James family of Omaha. The bank began with its first meeting on March 31, 1886 as the Farmers State Bank of Paullina, Iowa with original stock of $25,000. The original stockholders split the stock evenly between Ralph Dodge, L.M. LaRue, W. W. Johnson, George Hakeman, and Stephen Harris, with Hakeman being elected President and Harris Cashier.
September 20, 2004 Iowa State Bank purchased two branches of First Federal Bank of Siouxland in Sheldon and Orange City, Iowa. These two offices were from the original First Federal Savings and Loan Association of Sioux City that was founded in 1923. The Orange City branch was opened in April 1974 and had a deposit base of $10,136,522 and loans of $6,229,542, while the Sheldon branch was opened in April 1976 and had a deposit base of $16,956,932 and loans of $10,799,788. In 1992 they converted from a mutual holding company to form a fully-converted stock form of ownership and came under the ownership of First Federal Bancshares, Inc.
In January 2005, Iowa State Bank purchased the Kooima Insurance Agency from John Kooima in Hull, Iowa. John Kooima started his agency in April of 1984 to be able to offer more to his customers. John operated out of his home and did business "door-to door" and "farm to farm". He was able to increase his book of business every year of operation for the Agency until the sale to ISB insurance, inc.
In February 2005, Iowa State Bank opened a new branch office in Sanborn, Iowa. The Sanborn office was opened in a 960 square foot building on Main Street with three staff members. The office was opened to service existing Sanborn customers banking in Sheldon office and at the former Sheldon First Federal Bank office which bank acquired in 2004. During that time a new building was being built on the highway and on January 11, 2007 Iowa State Bank opened its doors for buisiness.
