Bad Banks... and What I Have To Say About Them!

I was starting to do some minor time investment with treasury bills, time deposits and savings accounts.  One thing was for sure, I really had to be careful with selecting the proper bank especially at impulse and impression, this happens around the world.  One may talk about Malaysian Ahman scheme and well, talk about it that it was in Malaysia that it happened.  Malaysia is pretty developed.  Or talk about the Madoff scheme in the United States of America.  What is going on?  We have the problem of bad banks!

So what's the bad bank?  I really had my thoughts of these examples:

1.) Doing the absurd requests to customers. Today in e-commerce we can only honor air mail, express mail and email and I am fine with that if you ask me to express mail anything or me to appear there in person to deliver the papers.  The air mail will never be obsolete, the express mail will never be obsolete but why do they now ask for instructions via fax?  What if the instructions were 20 pages?  Fax machines are really noisy, jamming and not to mention a huge waste of paper plus it's already very inconvenient.  Thermal papers will fade away fast.

2.) Double your money in a short amount of time.  I was learning some few things about the banks and one, they pay interest because they are borrowing money. They earn interest because they loan to others.  Any interest that is paid to them in return, some of it must be remitted to the client.  The double your money in such a short amount of time is a bad thing because it can run the bank bankrupt.  Some banks have succeeded in this through a notorious Ponzi scheme.

3.) Not using the right technology.  While punchers and landline phones will most likely not be obsolete, but I would probably want to comment on using the wrong technology.  I mean, who in the right mind uses fax machines these days?  Or also, who uses typewriters to make reports only for efficiency to suffer?  I really was thinking that not having the right technology kills.  I mean, Internet is now a necessity than a luxury so businesses really need it!

4.) Bad employees inside.  That is the problem with many government banks in the third world countries, not just the Philippines.  In the government banks of third world countries, one might observe all the dilly-dallying, sleeping, etc. which makes it prone to bank robbery.  If these people can't do their jobs correctly, please do not expect them to handle your money right either!