The long name of the town refers to dedication of the area to the archangel Michael.

Local tradition attributes the "Los Bancos" part of the name to the use of tree trunks as benches at the junction of the through road from Quito to Esmeraldas with the road into the Rio Blanco valley.

The climate of the canton is subtropical because of its mid-high elevation, as opposed to the climate of higher elevation in the province between the Western and Central Cordilleras, which enclose the highlands of the Ecuadorian Andes.

As with other cantons in the province of Pichincha, Los Bancos' economy is mainly agricultural, based especially on cattle-raising.

Recently, there has been considerable growth in eco-tourism, most notably at Mindo.