RBI Big Move: Now banks will not be able to impose insurance and investment schemes on customers, know when the rule will be implemented

RBI Banking Regulations: If you take a loan from the bank, get a credit card or invest money in investment schemes, then this news is important for you. The Reserve Bank of India (RBI) has issued new guidelines to prevent mis-selling of financial products to customers.

These rules issued on June 15, 2026 will come into effect from January 1, 2027. RBI says that this step has been taken to increase transparency in the banking sector and strengthen customer confidence. After the new rules, customers are expected to get relief from forced selling of unwanted insurance, investment plans or other financial products.

Ban on dark patterns on digital platforms

RBI has banned banks and financial institutions from using dark patterns on their websites, mobile apps and other digital mediums. Dark patterns are digital techniques used to mislead customers into choosing a service or product. Many times customers click on an option without complete information or unknowingly agree to a service.

Under the new rules, banks will have to regularly review their digital platforms so that features and designs that mislead customers can be removed.

RBI fixed the definition of mis-selling for the first time

For the first time, the central bank has clarified under what circumstances will be considered mis-selling. If a customer is sold a product that does not suit his financial needs and profile, is given incorrect or incomplete information, or is offered a financial product without proper consent, it will be considered mis-selling. Apart from this, selling any product by compulsorily combining it with another service will also be considered a violation of the rules.

Money may have to be returned if rules are broken

According to the new guidelines of RBI, if mis-selling is proved in any case, the concerned bank or financial institution may have to return the customer’s money. Besides, it will also be mandatory to give complete information about cancellation of sale to the customer. With this provision, the rights of customers will be stronger than before and the accountability of financial institutions will increase.

Explicit consent of the customer will be mandatory

Under the new rules, it will be necessary to obtain informed and clear consent of the customer before selling any financial product. Banks cannot assume that the customer has already agreed to any service. It will also be mandatory for financial institutions to keep records of customer approval safe.

RBI has also clarified that banks cannot pressure customers to purchase additional services or products. Any additional service or product must be offered only with full information and at the request of the Customer.

Information about fees, risks and benefits will have to be given first.

Banks will now have to provide clear information to customers about the risks, charges, benefits and rules associated with any financial product before selling it. Apart from this, customers will also have to be provided with an easy option to opt-out from marketing calls, promotional messages and advertising communications.

Also read- The news of RBI selling gold worth Rs 1.14 lakh crore is fake, the government told the truth.

Financial sector experts believe that these new rules of RBI will make banking services more transparent and provide better security to the customers. This will also increase the accountability of financial institutions and strengthen trust in the entire banking system.