Lazy Bones and Ponzi Dreams

‘Create More Banks, Chit Funds will Die’ (ET, Apr 23) rightly stated that the lack of sufficient financial inclusion is responsible for the proliferation of Ponzi schemes. Even existing public sector banks have failed to attract rural customers. Banks even drive out people stating they have reached the target in savings accounts. Even when achieving financial inclusion targets, banking efforts have been directed towards opening deposit accounts and loans. These accounts also become dormant since account holders are not motivated to continue the banking relationship. So, Ponzi schemes and moneylenders benefit. 

- KV RAO, Bangalore  (ET)