What would happen if you borrowed money to buy a car or a house from a bank and couldn't repay the money? The bankers would surely take away your car or house. Would you believe me if I told you that had you borrowed money to buy millions of cars or thousands of acres of land, and you couldn't pay - the bankers will suddenly tell you that they don't want their money back?
It is hard to believe but it is something that is happening right now. Almost $ 20 billion (That is Rs. 1.14 lakh crore bad debts) are being written off as bad debts by Government Banks in India. These are loans that the bankers gave to various large businesses and now they are unable to recover this money - and are simply letting go of this money.
What happens to this money? Who will eventually pay for this money? This huge loss will be borne by who? Of course the balance sheets of these banks will show the losses - but eventually who will suffer?
The people who will suffer will be the honest citizens of the country - several people who work hard, are honest and want a good life for themselves and their family will suffer. The value of money will go down, inflation will rise as this will be the only way the money is recovered from the economy.
People who took this money - would spend it in a much easier and careless fashion and thus the prices of everything will rise. Further this also is extremely harmful for the economy as the same money could have been used by legitimate businesses. It could have been used towards building things the nation needs rather than being given for things that are not needed.
Ideally every bank does immense due diligence before giving out money - as they are not giving their own money, but the money that belongs to people who have given it to the bank for safe keeping. Banks are supposed to be answerable to people who have kept their money with them - but unfortunately that is not the reality.
These loans must certainly have been given out without adequate security and based on decisions that must be questioned for sure. I am someone who believe that money should be available for business and entrepreneurs who have honest intentions and good products and services, however when such things are done they are extremely unfair and unjust to people.
I am someone who has believed that money that comes to you should be obtained by honest and ethical means, only then will it bring prosperity and goodness into your life. I wish and pray for everyone to realize this fact. Money obtained through any other means will never bring satisfaction, peace of mind, health, happiness and bliss.
Even though bankers might not want their money back - the theory of Karma is extremely strong and money that belongs to the honest people of India will not stay long with those who have wronged them. I have immense faith in the Divine and the power of goodness - the path might seem tough and challenging, but I assure you in the end you will win and succeed only if you take this path.
Lots of love and smiles to all. Keep learning and keep sharing!
Thanks for the immense support and love for our last post - Do Your Children Know The Value of Money? - Do share it with many more school teachers, parents and principles as it is something that is the need of the hour. I also thank you for the suggestions on the video - we will have a couple of videos soon! Keep the suggestions coming!