Pour package of butterscotch chips into a medium bowl and combine with 1 teaspoon cinnamon so most of chips are coated. Preheat oven to 350 degrees F.
In a mixing bowl, cream butter with sugar, then beat in eggs. Add mashed bananas, vanilla, and sour creame. In a separate bowl, sift together the flour, baking powder, baking soda and salt. Gently incorporate dry ingredients into the banana mixture, stirring to blend.
Heavily grease and lightly flour bundt pan. Sprinkle half of the cinnamon/chip mixture in bottom of bundt pan then gently pour cake batter over top of the chips. Sprinkle the remaining chip mixture over top of cake. Bake for 45 minutes or until toothpick or cake tester comes out clean. Cool on wire rack for 10 minutes then remove from cake pan.
This is a very moist cake and I never made a glaze or icing for it but you may lightly dust with powdered sugar, if desired.