Matamoras first settled in 1797 by James Riggs and his sons-in-law, Martin and Anthony Sheets along with their families. Riggs and his family cleared the land and built three cabins in the area. It was not known as Matamoras at that time. Many of the first settlers were Revolutionary War veterans.
Matamoras, named for the Battle of Matamoros in the Mexican-American War was first platted (mapped) in 1846 by Stinson Burns and Henry Sheets. In 1861, Matamoras was incorporated and received its first post office that year. The U. S. Post Office changed the town's name to New Matamoras to avoid confusion with Metamora in Fulton County.