Ethics at the Individual Level refers to the personal moral principles and values that guide the behaviour and decisions of a single person within an organisation. For a banker, it’s about their personal commitment to doing the right thing in their day-to-day job.

Core Ethical Values for an Individual Banker

While the bank as an organisation has its own code of conduct, the ethical foundation is built by the actions of each individual employee. Here are the core values.

1. Honesty and Truthfulness

Being truthful in all dealings and not misleading customers or the bank.

Real-Life Example: A loan officer must honestly explain all the terms, conditions, and charges of a loan to a customer, even the unfavourable ones. They should not hide any information just to make a sale.

2. Integrity

Having strong moral principles and being consistent in your actions. It’s about doing the right thing, even when no one is watching.

Real-Life Example: A cashier finds an excess of ₹500 while tallying their cash at the end of the day. Instead of pocketing the money, they report it to their superior. This is an act of integrity.

3. Confidentiality

The duty to protect the personal and financial information of customers. This is directly linked to the bank’s ‘Obligation to Maintain Secrecy’.

Real-Life Example: A bank employee cannot discuss the account balance or transactions of a well-known person in their town with their own family or friends.

4. Fairness

Treating all customers equally and without any bias or prejudice.

Real-Life Example: A bank officer should process loan applications based on the merit of the application and the bank’s policies, not based on the customer’s social status, religion, or personal connections.

5. Competence and Professionalism

Continuously updating one’s knowledge and skills to serve customers effectively and professionally.

Real-Life Example: A bank employee takes the time to learn about a new digital banking product so they can accurately explain its features and benefits to customers.

Ethical Dilemmas at the Individual Level

An ethical dilemma is a situation where an individual has to choose between two or more options, where all options conflict with some ethical principle. It’s a “right vs. right” situation.

Common Ethical Dilemma for a Banker

Scenario: Your close friend, who is also a customer of your branch, applies for a personal loan. You notice from their documents that their financial situation is very weak, and they are not eligible for the loan as per the bank’s rules. Your friend pleads with you to approve the loan, saying they are in desperate need.
The Dilemma:
- Ethic of Loyalty: You want to help your friend.
- Ethic of Professional Duty: Your duty to the bank is to follow its lending policies and protect its funds.
The Ethical Choice: The professional duty to the bank must take precedence. The banker should politely explain to the friend why the loan cannot be approved based on the current financial documents and perhaps suggest alternative solutions if possible.

Summary

Ethics at the individual level is the personal commitment of each bank employee to uphold core values like honesty, integrity, confidentiality, and fairness. It’s about making the right moral choices in everyday work. An individual’s ethical conduct is the first and most important building block of the bank’s overall reputation. Employees will often face ethical dilemmas where they have to choose between personal relationships and professional duty. In such cases, the duty to the institution and its stakeholders must always come first.

Quick Revision Points

Individual Ethics: A person’s own moral compass at work.
Core Values: Honesty, Integrity, Confidentiality, Fairness, and Professionalism.
Integrity: Doing the right thing even when no one is watching.
Confidentiality: Protecting customer information is a key individual duty.
Ethical Dilemma: A conflict between two ethical principles (e.g., loyalty vs. duty).
Golden Rule in Dilemmas: Professional duty to the bank and its policies always takes priority over personal feelings or relationships.