Do you think Indian banks may default on paying interest on fixed deposits in days to come?The way in which Indian economy is sinking , due you think above situation is possible ? What if State Bank of India is unable to fulfill its payment commitments ? |
These days nothing is risk-free..... ICICI Bank had faced a grave situation 2-3 years back.... other private banks like HDFC, Kotak Mahindra etc. are also quite vulnerable, particualarly as rightly stated by you due to the sinking economy of the country.... Term Deposits are not secured at all...... as to the Nationalized Banks, it is backed by the Government Guarantee, but then the issue is about the solvency of the Government itself and hence the solace is just that these are on a better footing than the deposits with the private banks.
In my opinion, IMF will bail out if the entire Government financials go kaput, but it will not be without a cost..... in terms of the depositors with nationalized banks, it means that the entire 100% is not safe if Govt of India gets into a position of needing IMF bailout.
The truth is that these days there is just no money totally safe.... not even hard currency.... the overall global risk factor is steadily going up as resources (that's what is represented by money) are being overstretched in pursuit of ambitious economic gain across the world..... in such a situation, a simple operation of minimizing the risk will result in erosion of principal/wealth.... the only way out is to take calculated risks and hope for the best (as not taking any risk is for sure prohibitively costly)!!
Another key issue against us in India is the fact that illegal and immoral gains made through corruption at high levels invariably translates into unwarranted costs and losses for the honest lot of common people.
I hope I made some sense!!
I don't think we'll encounter situations like this because our banks are nationalized and Reserve Bank Of India will come in.
Our Banks are well established and protected and they will make the interest payment for their deposit promptly for ever. Banks will not default in paying interest.
This will not happen in case of Nationalized Banks.
I doubt whether the big nationalised banks will default on their interest rates.
Eeeeeeeeeeeeek!.... Do i pull out all my booty????
not at all,
Not at all....
