The Bank of Kendrick was founded in 1890 by J.M. Walker, one of the town's first trustees. Frank Gilbert organized his First National Bank in 1892 by merging with the Bank of Kendrick. Five years later this bank was reorganized and renamed Kendrick State Bank. J.W. Bradbury became the president, L.P. Bradbury, the cashier. The bank was again reorganized in 1912.

Following this reorganization Martin V. Thomas headed the bank and G.S. Porter was the cashier. The Kendrick State Bank acquired the assets of A.H. Behren's Bank of Juliaetta in March 1931. At that time Amos Moore was president and Hugh B. Thompson the cashier.

Moore, Thompson, and N. Brocke continued to operate the Kendrick State Bank until 1939. Prior to May 5, 1939, a proposal was made by Farmer's Bank of Kendrick, founded by John P. Vollmer in 1907, to purchase the assets of the Kendrick State Bank, and to dissolve the corporation. Moore discussed the advisability of this proposal with bank officers, stockholders and a representative of the FDIC. On August 1939 he entered into a written agreement with Farmer's Bank and a resolution agreeing to the purchase was adopted at a special meeting of the Board of Directors on September 7. The resolution was approved at a meeting of holders of trust certificates later in the month. The Kendrick State Bank had ceased to exist.