Misseling (deception in banks)

2020

The Central Bank decided to enter passports of financial products to protect Russians from the services imposed by banks

On December 10, 2020 it became known of intention of the Central Bank of the Russian Federation to enter passports of financial products for protection against imposing of services. The regulator drafted the bill according to which banks will be obliged to open to clients of benefit and risks of investments in writing. Read more here.

The Central Bank of the Russian Federation listed new methods of deception of clients by banks

On August 21, 2020 the practician listed to the Central Bank of the Russian Federation new methods of deception of clients by banks within "The overview unacceptable". It is about a so-called misseling – deliberate distortion of information on service and introduction of the buyer to delusion concerning need of its acquisition.

The Central Bank of the Russian Federation called new methods of deception of clients by banks

The regulator carried to number of new types of such deception:

• imposing of the combined financial products and services;
• imposing of products and services at offices of banks using electronic confirmation codes (analogs of the sign manual);
• informing clients on lack of a possibility of remote agreement cancelation;
• offer to senior citizens of the financial products of security market and collective investment market which are not suitable them;
• introduction of the clients to delusion at service offering connected with opening of the individual investment account of type "A";
• pseudo-investment consulting;
• introduction of citizens to delusion by the offer of the derivative financial instruments under the guise of securities;
• imposing of services of NPF;
• false representation of the insured persons;
• sale of difficult investment products (investment/accumulative life insurance) mainly to elderly people;
• dependence of profitability on the consent of the client to prolongation of the agreement ISZh;
• distortion of information on profitability of ISZh;
• not explanation of conditions and order of agreement cancelation of ISZh during a cooling-off period, including in the conditions of antiepidemiological restrictions;
• not explanation of conditions and order of agreement cancelation of NSZh.

The Central Bank specified that similar unfair practicians have no mass character and their share in a total quantity of financial transactions is small. The regulator recommends to citizens to get acquainted attentively with all offered documents and to ask the interesting questions to the representative of financial institution.^[1]

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• Fraud with bank cards

Notes