Seylan Bank was incorporated on 28 August 1987 as a Public Limited Liability Company and the founder chairman was Dr. Lalith Kotelawala.

Seylan Bank introduced Sri Lanka's first homegrown credit card and they also had a partnership deal with Western Union.

[5] Seylan Bank's troubles started when the Golden Key Credit Card Company, an unregulated firm of the Ceylinco group was unable to repay its customers due to financial instability.

[6] The collapse of the Golden Key Credit Card Company which was a subsidiary of the Ceylinco Consolidated and the mismanagement of funds by the former chairman in 2008, resulted in a liquidity crisis in the last weeks of 2008.

Recreation of a comprehensive strategic business plan, development of employees, and reducing operational expenses were accomplished by the board of directors.