RBI Cracks Down on Mis-selling: New Rules from July 2026 Promise Full Customer Refunds

• RBI to implement strict new rules against mis-selling in banking and financial services starting July 2026.
• Customers misled into buying financial products can file complaints and receive full refunds if mis-selling is proven.
• Mis-selling involves providing false information or selling unsuitable products, often driven by target pressure or commissions.
• New rules mandate clear complaint systems, product cancellation, full refunds, and compensation for proven bank faults.
• Banks prohibited from incentivizing mis-selling; customer feedback and bi-annual reports to enhance transparency.