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Disclose commission from insurers, MFs: RBI to RRBs

To increase transparency, the Reserve Bank of India (RBI) today directed regional rural banks (RRBs) to disclose the commission they receive from mutual funds and insurers for referring their products to customers. - FIIs net buy Rs 198cr, DIIs net sell Rs 57cr - FIIs net buy Rs 886cr, DIIs net sell Rs 214cr - FIIs net buy Rs 579cr, DIIs net sell Rs 125cr - NSE to launch MF platform tomorrow - ?Bloodthirsty' lawyers haunt UK insurers - FIIs net sell Rs 332cr, DIIs net buy Rs 142cr "Keeping in view the need for transparency in the interest of the customers... It has since been decided that regional rural banks (RRBs) should disclose to the customers, details of all the commissions or other fees received, if any, from various mutual fund or insurance companies for marketing or referring their products," RBI said in a notification. The above instructions, the RBI said, would come into force with immediate effect. The RBI further said RRBs may be marketing or referring, several competing products of various mutual fund or insurance companies to their customers. Last month, the Reserve Bank directed commercial banks to disclose the commission they get from mutual funds and insurance companies for marketing or referring their products.

Same Day Loans commented:

Such stoppage on commission is a right decision because just because of this commission they use to tell the customer about the product malafidely extra good so that they can opt such product.

29.11.2011

payday lenders commented:

Good information. I appreciate the writer for the efforts to make this article so informative for the people

12.03.2012


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