The history of the bank dates back to 1 January 1877. The British Government established the Post Office Savings Bank in the General Post Office Building in Raffles Place. In 1951, its number of depositors hit the 100 000th mark. It grew until its peak in 1955 and languished thereafter.

  In the mid-sixties, the Post Office Savings Bank, as POSBank was then called, was part of the Postal Department.

  It was Dr Goh Keng Swee, the then Minister for Finance, who helped to revitalise the bank. He saw the potential in tapping the national savings for the development of the infrastructure in Singapore.

  On 1 January 1972, the Bank was made a Statutory Board, under the care of the Ministry of Communications. Its two principal functions under the Post Office Savings Bank Act of 1971 were:

1. To carry on the general business of a savings bank and to promote saving and encourage thrift

2. To mobilise domestic savings for the purpose of public development.

  The Bank commissioned Mr William Lee to design its logo in 1972.

  In 1974, responsibility for the Bank was transferred to the Ministry of Finance. In the same year, the Bank set up a subsidiary, Credit POSB Pte Ltd, to tap into the housing market.

  In 1976, the number of accounts hit the one millionth mark. In the same year, deposits crossed the S$1 billion mark.

  In 1980, it introduced the Passcard, and the Principal Branch. In 1981, its first Cash-On-Line ATM machine opened at Newton Branch.

  In 1983, its eight-storey headquarters, POSBank Centre, at Bras Basah Road was completed.

  In 1984, the Bank introduced its current account facility. In 1986, deposits crossed the S$10 billion mark.

  It changed its name to POSBank in March 1990. In 1996, it won the National Productivity Award conferred by the National Productivity Board. 

  It introduced the Electronic Share Application to let its depositors apply for Initial Public Offering (IPO) shares.

  In November 1998, it was acquired by DBS Bank.