RBI plans guidelines to curb mis-selling of financial products in FY26

As complaints rise, RBI will frame rules in FY26 to curb mis-selling of financial products by banks and NBFCs, with possible impact on insurers' banca channels

The Reserve Bank of India (RBI) is likely to come up with suitable guidelines to address the misselling of financial products and services by its regulated entities, the central bank said in its agenda for the current financial year (FY26).

 

This comes amid concerns of misselling by banks, and non-banking finance companies (NBFCs), which distribute a range of products, including insurance policies, mutual funds, among other things for insurance companies and asset management companies.

 

“RBI is going to look at the way banks, NBFCs etc. are selling insurance, mutual fund products and may impose restrictions or tighten rules. It has