Skeletal remains of his dead sister slung over his shoulders, Jitu Munda’s walk to a bank in Odisha will linger in public memory. The daily wage-earner had a simple request: access to his deceased sister’s savings. Unable to produce official proof of death, he exhumed her remains in desperation. The video of his visit went viral, drawing outrage. He spoke of repeated failed attempts, of being turned away, of humiliation where he expected help. The bank initially defended itself with rules on third-party withdrawals and even questioned his conduct. Only after public anger swelled was the matter resolved within a day. Few episodes capture the stark distance between banking institutions and individuals.
But Munda’s ordeal is not an isolated case. India’s retail banking sector has grown rapidly recently, supporting economic growth with strong reach and stability. In 2024-25, scheduled commercial banks reported a record net profit of ₹4.01 lakh crore, while public sector banks contributed ₹1.78 lakh crore to this total. Technology has changed how banking services are delivered. Digital payments have increased sharply, and banking services now reach deep into rural areas. Efficiency, large-scale operations and high profits now define the system’s overall success. The mind-boggling numbers of apps, QR codes and instant credit products have penetrated into smaller towns such as
Munda’s Keonjhar’s Malliposhi. However, in the relentless competition to sell loans, insurance and credit cards, algorithms call the shots, process matters and performance is measured in figures. A customer is but an account in a manager’s portfolio, a risk category or a missed target.
This shows up in many ways across India. Customers face more cases of digital fraud and smart scams, often with little help. Mis-selling of financial products still happens, as staff are pushed to meet targets. Charges and penalties are not always clear, which hurts trust. Complaints are often slow to resolve and feel impersonal, as automated systems replace real interaction. Aggressive marketing, unwanted calls and confusing product terms add to the burden. For rural and less digitally literate users, access itself can be difficult; for urban customers, the problem is dealing with complexity without clarity.
The system works accurately, but not always with understanding. In 2016, ex-RBI governor Raghuram Rajan urged officials to spend a day as the aam aadmi to truly grasp everyday banking challenges. A decade on, that counsel remains relevant.
