RBI Proposes Strict Rules to Curb Mis-selling by Banks, Bans Incentives

• RBI proposes ending incentive structures at banks that lead to mis-selling of products or services.
• Banks must obtain customer consent for calls and restrict them to office hours.
• No incentives, direct or indirect, from third parties for employees selling their products.
• Bundling of third-party products with bank's own services will be prohibited.
• Banks to refund full amount and compensate customers for losses in established mis-selling cases.