The Knights Templar
Medieval Catholic military order and early bankers.
The Poor Fellow-Soldiers of Christ and of the Temple of Solomon, better known as the Knights Templar, was a Catholic military order and a major force in Western Christianity. Founded in 1118, its original purpose was to protect pilgrims traveling to Jerusalem, and it set up its headquarters on the Temple Mount in that city. The order lasted for nearly two centuries during the Middle Ages.
After the First Crusade captured Jerusalem in 1099, Christian pilgrims faced constant danger from bandits and highwaymen as they traveled from the coast at Jaffa into the Holy Land. In 1119, the French knight Hugues de Payens proposed a monastic military order to protect them. King Baldwin II of Jerusalem and Patriarch Warmund agreed, likely at the Council of Nablus in early 1120, granting the Templars a base in the Al-Aqsa Mosque on the Temple Mount. The order began with about nine knights, including Godfrey de Saint-Omer and André de Montbard, and was so poor that its emblem showed two knights sharing a single horse.
The Templars’ fortunes changed with the support of Saint Bernard of Clairvaux, a powerful church figure and nephew of founding knight André de Montbard. Bernard wrote in their favor and, at the Council of Troyes in 1129, led church officials to officially approve the order. This endorsement made the Templars a favored charity across Christendom, bringing in money, land, businesses, and noble recruits. Pope Innocent II’s papal bull *Omne Datum Optimum* in 1139 exempted them from local laws and taxes, placing them only under papal authority—though in practice they often had to respect local rulers, especially in banking matters.
The order grew quickly. Templar knights, known for their white mantles marked with a red cross, were elite shock troops in Crusader battles, charging ahead of the main army on armored warhorses. A famous victory came at the Battle of Montgisard in 1177, where about 500 Templar knights helped infantry defeat Saladin’s much larger force. However, most Templars were not combatants; up to 90% of members managed a vast economic network. They developed early banking techniques, such as allowing nobles to place assets under Templar care during Crusades, and built nearly 1,000 commanderies and fortifications across Europe and the Holy Land.
As the Crusaders lost their hold on the Holy Land, support for the Templars faded. In 1307, King Philip IV of France had many Templars in France arrested, tortured into false confessions, and burned at the stake. Under pressure from Philip, Pope Clement V dissolved the order in 1312. Despite this, between 1317 and 1319, some Templar knights, properties, and assets were absorbed into the Portuguese Order of Christ and the Spanish Order of Montesa. The sudden end of this major medieval institution sparked legends and speculation that keep the Templar name alive today in self-styled orders and popular culture.
- field
- Military order, finance
- nationality
- Western Christianity
- known_for
- Crusader knights, early banking, white mantles with red cross
Lore & Background
The Knights Templar were a military order of the Catholic faith, founded to defend pilgrims traveling to Jerusalem. Their headquarters were located on the Temple Mount, a site associated with the ruins of the Temple of Solomon, from which they derived their name. The order’s defining characteristic was its dual role as both monastic community and fighting force. Templar knights were highly skilled warriors, easily recognized by their distinctive white mantles emblazoned with a red cross. They often served as shock troops in Crusader battles, charging ahead of the main army on warhorses. However, the vast majority of members—up to ninety percent—were non-combatants who managed a vast economic network. The order developed early forms of banking, including innovative financial techniques, and built nearly a thousand commanderies and fortifications across Europe and the Holy Land. Their emblem, two knights riding a single horse, originally symbolized their early poverty. The order grew rapidly in power and wealth, becoming a favored charity across Christendom, and was officially endorsed by the Catholic Church through papal decrees. Despite their military prowess and financial influence, support faded as Crusader holdings in the Holy Land became untenable. In France, King Philip IV had many members arrested, tortured into false confessions, and burned at the stake. Under pressure from the king, the pope disbanded the order. Following its dissolution, some knights, properties, and assets were absorbed into other orders in Portugal and Spain.
Reader's Guide
The Knights Templar were significant as a major military order of Western Christianity, closely tied to the Crusades and known for their skilled knights and innovative financial practices. They developed an early form of banking through letters of credit for pilgrims, and their economic infrastructure included nearly 1,000 commanderies and fortifications across Europe and the Holy Land. Their political power in the Holy Land grew to the point where they held de facto independent lordships and keys to the crown jewels during a regency. The order's dissolution under pressure from King Philip IV of France and Pope Clement V in the early 14th century marked the abrupt end of a major medieval European institution. This sudden disappearance, along with the absorption of some assets into other orders, fueled enduring legends and speculation that continue in popular culture and self-styled orders today. Their legacy includes being arguably the world's first multinational corporation and influencing later banking systems.
Did You Know?
- The Templars' emblem of two knights on one horse emphasized the order's early poverty.
- They developed an early form of banking by issuing letters of credit for pilgrims journeying to the Holy Land.
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