Zombie Banks

If you do not know what that term means, you can either call up an economist friend or forget about it, it does not really matter. Simply, put a public sector bank becomes zombie when the government is ready to put just enough money for it to survive and not enough for it to thrive and grow in a liberablised environment. The term was used by Percy Mistry who chaired a committee to prepare a report on how to make Mumbai a financial hub [not clear financial hub of world, india or maharashtra, I guess it must be the world since all of us are thinking global nowadays]

The excerpts of the report that I have read with a layman's perspective has lead me to the conclusion that in order to make mumbai a financial hub the enitre country or at least the entire financial policy and structure have to change. Hah hah!

However, this entry is not about making mumbai hub of high finance, but about a so called zombie bank and my experiences with it. When I enter the bank at 10 am every one seems to be awake and there are actual people in the counters, who talk to you, sort out your problems and very often know you and your last transaction. From opening to a locker to closing an account can be done absolutely fast. You sometimes also get a cup of tea while you are waiting to be served. This does not look zombie to me at all. Most important people in the counters do not change every week and they do not forget the commitments they make to you for the next week.
Compare this with a non-zombie bank which is more in news for floating ADRs and aspiring to become the largest bank in India and aiming to lead the charge if Mumbai ever becomes an international financial hub... It took me two months to convert an account to a joint account since every week the person behind the counter changed and each time I went back the person had no idea about my application form and supporting documents. Nothing is issued from the branch, you would have to wait for everything to come from "mumbai service centre"; cheques are home delivered, except that the couriers have strict indstructions to give it to the person whose name they are in [you are expected to wait at home because the couriers choose to come only in the afternoons or soon after you have left for office]. Even if you have an account with them they will not endorse your address. All these and much more in the name of "your own security". I feel proud that at least in my bank I have Z category security, makes me feel like Jyoti Basu. But does it really make my banking better. Not at all. Of course, a new feature has been added recently to help me serve better, I have to take a queue number even to queue up......

I think I would prefer zombie banks any day. What would you prefer?