What Happened with Lakshmi Vilas Bank?
Investing

What Happened with Lakshmi Vilas Bank?

"Facts are threatening to those invested in fraud." This is what can be seen in the Lakshmi Vilas Bank fraud case. After PMC Bank; it's time for Lakshmi Vilas Bank to prove itself.

Continue Reading about 1 months ago
Reasons behind Banking Crisis
Investing

Reasons behind Banking Crisis

There’s an undeclared banking crisis going on in our country and here we would like to throw some light upon it. This started as an NBFC crisis but now it has snowballed into a Banking crisis.

Continue Reading about 1 months ago
Impact of Corporate tax cuts on Banks and NBFC’s
Investing

Impact of Corporate tax cuts on Banks and NBFC’s

On September 20th, 2019, the Finance Minister Nirmala Sitharaman announced Corporate Tax Cuts in order to stimulate the economy. While in our previous article, we have already discussed at length the impact of Tax Cuts on the Corporate Sector. 

Continue Reading about 1 months ago
Was the Merging of PSBs a good move?
Investing

Was the Merging of PSBs a good move?

On the eve of August 30, 2019 when the abysmal GDP growth figure of 5% was announced, there was another press conference by the Finance Minister N Seetharaman. The press conference detailed on how some Public Sector Banks (PSB) would be merged with some other Public Sector Banks. While some called it a banking reform, the market perhaps did not seem convinced. Here is the story of unfolding of the Indian PSBs merger.

Continue Reading about 1 months ago
What happened with the PMC Bank?
Investing

What happened with the PMC Bank?

It was a shocker in the morning of  24th of September,2019 that 'Punjab & Maharashtra Cooperative Bank' has been taken over by the Reserve Bank of India. Its customers are allowed to withdraw only ₹1000. This news spread like a wild-fire, and the customers ran to the bank in the act of panic. Police were deployed at the bank to maintain the order. Still, 131 branches are under a lot of pressure from people. There are footages on news channels on how people fear their savings stalled with the bank. For some others, it is 'Demonetization 2.0.'

Continue Reading about 1 months ago
Securitization- The lifeline of NBFCs
Investing

Securitization- The lifeline of NBFCs

Non- Banking Finance Companies (NBFC’s) play a significant role in driving growth and development by providing financial services to Micro, Small and Medium Enterprises (MSME’s) most suited to their business model. They aim at promoting inclusive growth in the economy by extending credit in rural sectors and financially weaker sections of the society.

Continue Reading about 1 months ago
What if PayTM bought a stake in YES Bank?
Investing

What if PayTM bought a stake in YES Bank?

Have you heard this fairy tale about the frog and the princess? Remember how a kiss by the princess magically transformed the frog into a handsome prince? Well, something like this still happens in today’s industrial world. You must be thinking how? This is what acquisitions look like. Although fairy tales in the earlier times were more believable, today's tales have the same essence but a different form. The frog is the company waiting to be acquired, and the spoilt princess is the company aiming to acquire another company and find some benefit from it.

Continue Reading about 2 months ago
Are you Safe with Yes Bank?
Investing

Are you Safe with Yes Bank?

YES Bank faced a liquidity crunch and has few entities which were defaulting as of August 2019. These issues required a resolution to modify the look of the books. YES Bank share prices have seen a good deal of the ups and downs. After reaching the 5-year low point in August 2019 at 5%, YES Bank saw a resurgence of the stock price in the first week of September 2019. At a time when the share market was falling, the bank was making it to the list of top buzzing stocks in the market. 

Continue Reading about 2 months ago
Can DHFL Survive?
Investing

Can DHFL Survive?

Some of the most important companies in India are facing serious trouble and it just reflects the management issues and economic slowdown peering upon the big companies. Last year, we saw a key non-banking financial company, Infrastructure Leasing & Financial Services (ILFS) crashing down. The earliest private airline company, Jet Airways closed its shutters down. Anil Ambani’s Reliance Communication filed for bankruptcy. Most recently, Dewan Housing Finance Corporation (DHFL) is facing survival blues.

Continue Reading about 2 months ago
Yes Bank’s Share Price: Tumbling.
Investing

Yes Bank’s Share Price: Tumbling.

Aren’t stock markets known to be a risky investment? As the saying goes, ‘more risk, more returns’, but is it really true? The ups and downs of the share price can be a reason for happiness and trouble, both. With the overall economic slowdown, the downgrade of most share prices has knocked down the profits for most investors.

Continue Reading about 2 months ago
SWIFT- How It Works: Gains & Risk
Investing

SWIFT- How It Works: Gains & Risk

Thanks to SWIFT that today, tracking the swift movement of money internationally from bank to bank is so much easier. What is SWIFT? It is the Society for Worldwide Interbank Financial Telecommunication, the world's largest electronic payment messaging system. SWIFT is a huge messaging network for securely moving the money and sending and receiving information for instructions and is used by financial institutions like banks. SWIFT doesn’t even touch the money; it just makes it move.

Continue Reading about 2 months ago
Why cant RBI print unlimited currency
Investing

Why cant RBI print unlimited currency

There is common doubt in everyone’s mind that why can’t a government print money and distribute to its citizens. To get this clear

Continue Reading about 4 months ago
DCB Bank - Stock Analysis
Investing

DCB Bank - Stock Analysis

DCB bank has a 90-year-old history formed by the merger of two co-operative banks, to form the Development Co-operative Bank. The bank went on to obtain a scheduled bank license from the RBI in the year 1995 changing its name to Development Credit Bank. The bank raised its IPO in the year 2006. Later, in the year 2014, the bank’s changed its name to DCB Bank Ltd.

Continue Reading about 5 months ago
How do banks make money off you?
Investing

How do banks make money off you?

Often, we see banks keeping our money safe and paying savings interest rate or a fixed deposit interest rate to all its customers. So, if the banks keep giving interest to everyone on the money deposited with them, then, how do you think these banks make money?

Continue Reading about 7 months ago
Letter of undertaking
Legal

Letter of undertaking

Letter of Undertaking (hereinafter referred to as LoU) can said to be a sort of guarantee that is issued by a banking entity to the concerned person for attaining short term credit from the overseas branch of an Indian bank. Such LoUs are not issued against retail transactions, but are employed in business or trade transactions.

Continue Reading about 1 years ago