RBI gives great importance to the security and convenience of its customers. For this, the Central Bank often issues various guidelines for banks. Recently, the Reserve Bank of India has given strict instructions to banks not to mislead their customers in any way. If any bank is found doing this, it will have to face strict action.
What did RBI say?
The Reserve Bank of India has recently issued guidelines stating that banks cannot impose any scheme on customers nor mislead them into taking the scheme. On June 15, 2026, RBI issued the ‘Reserve Bank of India (Commercial Banks) Second Amendment Directions, 2026’. These instructions are applicable to all commercial banks and include specific guidelines for each category. These instructions of RBI will come into effect from January 1, 2027. After the issuance of these instructions, banks will be given six and a half months to make necessary changes in their systems.
Guidelines for banks
The guidelines issued by RBI for banks include the following:
Banks should publish the updated list of all empaneled DSAs (Direct Selling Agents) and DMAs (Direct Marketing Agents) on their website and update this list within seven days of any change.
Bank branches should clearly differentiate between their employees, agents and third-party product representatives – whether through their dress code or identification.
Banks should obtain a written undertaking from the DSA and DMA confirming that they and their sub-agents will abide by the Bank’s ‘Code of Conduct’.
This ‘Code of Conduct’ should be displayed on the Bank’s website for all to see.
Agents can contact customers only between 9:00 AM to 7:00 PM.
Agents cannot visit a customer’s home or office without his consent, nor can they identify themselves as bank employees. A third-party employee may represent himself as an employee of the Bank or make any promise on behalf of the Bank.
How do banks mislead customers?
RBI has taken this step because banks often mislead customers in many ways. For example, a particular scheme or insurance policy may be sold to a customer visiting the bank for general enquiries. Additionally, online services often contain misleading statements that result in the customer receiving a product by clicking on a link without their express consent. RBI has issued these guidelines to protect customers from such things.
