Settled in October 1886, Carroll was first named Manning in honor of J.R. Manning, an early settler. A railroad manager chose the site due to its proximity to Deer Creek. Some differences of opinion over the town site arose between the railroad company and the owners of the land. A man named Carroll arbitrated the matter and when the railroad company put the name on the depot, it was Carroll.
According to another authority, Carroll was named by the general manager of the railroad in honor of Charles Carroll, one of the signers of the Declaration of Independence.