FRDI Bill

[reality]

Just now, MRI said:

nuvvu aa tepper maklodey gaadivena??

Vaadu chaala laudes ka auladh...kelukkovatame vaadi pani...I wouldn’t have quoted this, had he not messed with me one time in the past.

[reality]

2 minutes ago, uttermost said:

It means that, banks that now are making idiotic loans to unviable projects that their friends are part of, using your deposits, will not be allowed to do so. Actually they will be allowed, but they have to bear the entire risk themselves.

This actually didn't need FRDI bill. It could simply be done by imprisoning those who sanction those loans (and their political backers), but this bill is helpful for India to move towards even more financial liberalization.

and for the banking system to be more robust. Sure a couple banks may fail, but their failure will strengthen the overall system. And also make loans cheaper in the long run.

Rende rendu mukkalu telugu lo please...

[MRI]

Just now, reality said:

Vaadu chaala laudes ka auladh...kelukkovatame vaadi pani...I wouldn’t have quoted this, had he not messed with me one time in the past.

evadi gurinchi??

[kingcasanova]

1 minute ago, uttermost said:

It means that, banks that now are making idiotic loans to unviable projects that their friends are part of, using your deposits, will not be allowed to do so. Actually they will be allowed, but they have to bear the entire risk themselves.

This actually didn't need FRDI bill. It could simply be done by imprisoning those who sanction those loans (and their political backers), but this bill is helpful for India to move towards even more financial liberalization.

and for the banking system to be more robust. Sure a couple banks may fail, but their failure will strengthen the overall system. And also make loans cheaper in the long run.

ivanni jaragaalante naggaadu, sujana chowdhary laanti pedda manushulu chaalaa mandi ibbandi padaalsi vasthundi, prajaaswaamya viluvalu gala eee desam lo ilaanti katina nirnayaalu kudaradu ani Modi PM la meeda PM lu pampistunnaad

[reality]

Just now, MRI said:

evadi gurinchi??

Nuvvu evadini adigavo vadi gurinchi...

[chittimallu2]

2 minutes ago, uttermost said:

It means that, banks that now are making idiotic loans to unviable projects that their friends are part of, using your deposits, will not be allowed to do so. Actually they will be allowed, but they have to bear the entire risk themselves.

This actually didn't need FRDI bill. It could simply be done by imprisoning those who sanction those loans (and their political backers), but this bill is helpful for India to move towards even more financial liberalization.

and for the banking system to be more robust. Sure a couple banks may fail, but their failure will strengthen the overall system. And also make loans cheaper in the long run.

Isnt your first paragraph a contradiction to what might happen?

from my understanding since the banks can "use" the depositors money to bail out any defaulters, cant they give idiotic loans more liberally since they have a backing in the form of a typical depositor's money? 

[uttermost]

3 minutes ago, chittimallu2 said:

under the new regine, that limit is removed. explain more about this. I read that 1 lakh rupees in insured since 90s... ipudu adi kooda ledu antunnava?

yes. unless the govt bails out the bank, you lose your entire deposits under the new regime.

It is the norm in the west too.

[MRI]

Just now, reality said:

Nuvvu evadini adigavo vadi gurinchi...

haha.. vee id reply ichindi ani ippudey notice chesanu.. vadu reply ichadu anukunna.. nuvvu verey anukoledu.. vado pedda dommari lk ley.. paisa ki paniki raani bosedk.. langallo koorchuni verey vaadi **** naakutu tirugutaadu..

[uttermost]

1 minute ago, chittimallu2 said:

Isnt your first paragraph a contradiction to what might happen?

from my understanding since the banks can "use" the depositors money to bail out any defaulters, cant they give idiotic loans more liberally since they have a backing in the form of a typical depositor's money? 

banks don't bail out defaulters. banks make bad loans, get into trouble, and try to bail themselves out by using depositors money.

yes. banks in India are not run professionally, because the financial system is underdeveloped. FRDI is one step towards dechoking the financial system.

it sounds like banks are going to make bad loans, and fcuk up your deposits, but it won't happen. because deposits will move to banks that are more trustworthy, and have capital buffers that won't touch depositors money.

Again FRDI bill is just one step. The move will make sense only if banks are allowed to find other ways to make money, like creating tertiary markets to sell securities within themselves.

Otherwise, the biggest consequence of this bill will be, increase in banking transaction cost. apart from that, I don't see a huge problem with this bill.

[MRI]

3 minutes ago, reality said:

Nuvvu evadini adigavo vadi gurinchi...

veedu vaadey avutey kanaka.. kammaga pettadu chittimallu bosedk gaadiki..

[aakathaai]

Just now, reality said:

So aa 10 lkhs FD chesinidiki medical emergency vachhi 9 lakhs urgent ga kavalante Modddda chupedathara?

naaku same doubt aayaa

[chittimallu2]

1 minute ago, uttermost said:

banks don't bail out defaulters. banks make bad loans, get into trouble, and try to bail themselves out by using depositors money.

yes. banks in India are not run professionally, because the financial system is underdeveloped. FRDI is one step towards dechoking the financial system.

it sounds like banks are going to make bad loans, and fcuk up your deposits, but it won't happen. because deposits will move to banks that are more trustworthy, and have capital buffers that won't touch depositors money.

Again FRDI bill is just one step. The move will make sense only if banks are allowed to find other ways to make money, like creating tertiary markets to sell securities within themselves.

Otherwise, the biggest consequence of this bill will be, increase in banking transaction cost. apart from that, I don't see a huge problem with this bill.

most of the stuff is way above my head... I have no clue about the majority of this stuff... I guess I need to do a bit of reading...

 

anyways thanks to everyone for helping me understand a little...  cheers

[uttermost]

7 minutes ago, kingcasanova said:

ivanni jaragaalante naggaadu, sujana chowdhary laanti pedda manushulu chaalaa mandi ibbandi padaalsi vasthundi, prajaaswaamya viluvalu gala eee desam lo ilaanti katina nirnayaalu kudaradu ani Modi PM la meeda PM lu pampistunnaad

yes. fcuk Modi.

but you want capitalist system means, this is unavoidable. you cant want the system, and also want your deposits to not be used to make risky loans. indian banks are too conservative, apart from giving money to their crony friends. It should change.

I personally prefer a world with no money.

[reality]

2 minutes ago, MRI said:

haha.. vee id reply ichindi ani ippudey notice chesanu.. vadu reply ichadu anukunna.. nuvvu verey anukoledu.. vado pedda dommari lk ley.. paisa ki paniki raani bosedk.. langallo koorchuni verey vaadi **** naakutu tirugutaadu..

Modi gadi Mod Good lo vadiki vade poti....

evadaina bodi gadini criticize chesthe personals ki diguthadu.....mana @chittimallu2 saraina bhairi dengaadu....

[aakathaai]

idi kooda demonetization gst laage sinthakaai scheme (scam) laga anipisthundi