The Bank First Started as Society on 1/04/1920 in One of the rooms of Railway Audit Office Bangalore by Sri L.V.Gopalan, Travelling Inspector of Accounts in the Mysore State Railway with an initial membership of 112, and Paid up Share Capital of Rs 2580.

A Society was also started at Mysore by Sri M.N.Kasipathiah, Chief Clerk of traffic Manager's Office, Mysore. This was Functioning mainly as a consumer's Co-Operative Society. Both these societies were amalgamated as Mysore State Railway Co-Operative Society and began to function at Mysore.

After the Reorganization of Indian Railways, this society was renamed as Southern Railway Co-Operative Society, Ltd. Mysore, and when the Co-Operative Banks came under the purview of Reserve Bank Act, again renamed as The Southern Railway C0-Operative bank Ltd., Mysore. Accommodation for Bank was provided in Railway Office Building Mysore. In 1969, Sri. M.V. Chalapathi Rao Chairman of the bank Persuaded The Railway to give 4900 Sq.Ft of land to the Bank at a nominal cost 11250/-