CUTS in partnership with Consumers International (CI) and Which? (UK) has implementing a project entitled “‘Plight of Consumers of Financial Services, with special focus on the issue of Mis-selling and Financial Incentives in Indian Banks'”. The overall objective of the project is to promote appropriate eco-system for consumers to make right choices in their financial planning and to discourage incentive inspired mis-selling of third party products by front desk bank staff and agents. Under the project, CUTS conducted a study in five cities of India, Jaipur, Chennai, Kolkata, New Delhi and Mumbai, for the purpose of getting feedback from consumers, as well as from the front desk bank staff, responsible for selling various financial products’.
To disseminate the findings emerged from the study, CUTS is organising a National level Dissemination cum Advocacy meeting in Jaipur on February 20, 2015 and to discuss on better and effective mechanism to control miss-selling of financial products to consumers of Banking services.
Mis-selling of products has been a serious issue in Indian financial system and that has led to fundamental flaws in the customer protection architecture and has created large welfare losses for customers.
- Provisions of sale incentives leading Bankers to mis-sell Financial Products
Jaipur, February 20, 2015
- Lure of incentives leads to mis-selling to Consumer
Consumers International, February 25, 2015 - Promises that are not kept
DNA, February 22, 2015 - The provision of incentives promote financial products through wrong means
Nafa Nuksaan, February 22, 2015 - Lure of incentives leads to mis-selling of financial products
Business Line, February 21, 2015 - Lure of incentives lead to mis-selling of financial products
Business Standard, February 21, 2015 - Financial Product Mis-Selling: Incentives to Blame, Says Report
NDTV Profit, February 21, 2015