First mentioned in an 1142 deed, the castle initially belonged to the Carinthian estates owned by the Prince-Bishops of Bamberg and was enfeoffed to their local ministeriales. The lords of the castle, probably related to the Osterwitz noble family, began to call themselves von Finkenstein. In 1233, a fierce feud is recorded between the Duke Bernhard of Carinthia and the Bamberg prince-bishop Count Ekbert of Andechs, whereby Lord Henry of Finkenstein sided with the Sponheim duke. When he had Ekbert captured and arrested at Finkenstein Castle, he was immediately banned by Pope Gregory IX; nevertheless, the prince-bishop was not released until various pressures by Duke Frederick II of Austria and the Salzburg archbishop.
