What changed
The RBI has amended its directions on responsible business conduct for regulated entities, including banks and NBFCs. The new directions cover aspects such as advertising, marketing, and sale of financial products, including third-party products. The amendments also address issues like dark patterns and prevention of mis-selling.
What it means for you
The amendments aim to promote transparency and fairness in the marketing and sale of financial products. Regulated entities will need to ensure that their advertising and marketing practices are honest and not misleading. This will help protect consumers from unfair practices and promote a more stable financial system.
What you must do
- Review your advertising and marketing practices
- Ensure compliance with the new directions
- Train staff on responsible business conduct
Who it affects
Banks, NBFCs, Housing Finance Companies, Co-operative Banks
When do the new directions come into effect?
January 1, 2027
What aspects do the new directions cover?
Advertising, marketing, and sale of financial products, including third-party products