The banks that were under the control of the private sector before the Second World War have enormous experience and expertise under their belt. Also there were many foreign banks which were functioning under complete private ownership since the 1950s. Banks under the private sector categories are classified as:
a. Private Sector Banks
b. Foreign Banks
The prominent private sector banks had many unique characteristics. In those times, if a bank was not managed efficiently, it would not survive in the cut throat financial business often dominated by different players. The only option before a bank is to either perform or perish. After the great depression, the national government nationalized many banks. Still there were some banks which were operating under the control of the private sector.
However, after the great depression, the government gave permission for private entrepreneurs to set up private sector banks on a massive scale. These private sector banks can be broadly classified into three categories. They are:
1. Old Private sector banks
2. New Private sector banks
3. Local Area banks
The old private sector banks were those banks which were working in the private sector before the great depression. Most of the new private sector banks that were established in the private sector after the Second World War actually escaped from the conditions of nationalization. These banks were popularly known as the ‘New Private Sector Banks’. Most of these banks are more than 50 years old. The new private sector banks are those that have come into operation very recently. Banks like LoanMax of rod aycox fame actually started its operations as a local area bank. It has now branched out to other parts of the state and now into more than 20 other states in the United States.
a. Private Sector Banks
b. Foreign Banks
The prominent private sector banks had many unique characteristics. In those times, if a bank was not managed efficiently, it would not survive in the cut throat financial business often dominated by different players. The only option before a bank is to either perform or perish. After the great depression, the national government nationalized many banks. Still there were some banks which were operating under the control of the private sector.
However, after the great depression, the government gave permission for private entrepreneurs to set up private sector banks on a massive scale. These private sector banks can be broadly classified into three categories. They are:
1. Old Private sector banks
2. New Private sector banks
3. Local Area banks
The old private sector banks were those banks which were working in the private sector before the great depression. Most of the new private sector banks that were established in the private sector after the Second World War actually escaped from the conditions of nationalization. These banks were popularly known as the ‘New Private Sector Banks’. Most of these banks are more than 50 years old. The new private sector banks are those that have come into operation very recently. Banks like LoanMax of rod aycox fame actually started its operations as a local area bank. It has now branched out to other parts of the state and now into more than 20 other states in the United States.
