The first record of the village dates back to 1320. There are numerous houses dating back to the 19th century in the village. In 1913 the village cemetery was established and after World War I Jednota Sokolská (a physical training union) built a cenotaph, which has been preserved up to now.

Bystrá is located near attractive tourist destinations, such as Český ráj, Kozákov, Bozkovské dolomitové jeskyně and mountain resorts in Krkonoše.