Source:Times of India

In Varanasi, the poorest are the most creditworthy for blessings. Open-ended credit is available without any legally-binding contracts;yet, the rate of default is less than one percent. Bankers maintain they’ve never had sleepless nights thinking about the liquidity risk they run;not even, ever, about bad debts or non-performing asset accounts. Considering they have the direct patronage of Lord Ram himself, this, investors believe, is a system that can never sink. As for Standard & Poor’s, they would probably give the Ram banks a credit rating of AAA.
For a cashless system that sustains itself on a rock solid system of faith, the Ram banks follow some fairly stringent norms. At Varanasi’s Ram Ramapati Bank, the oldest among the growing network of Ram banks, ‘Ram naam’ loans are given out on priority basis to those in dire need of blessings. “We believe that people turn to God when everything else has failed.

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