Will your Bank Stop Mis-Selling in 2027?

In this episode, Monika examines the RBI's new Responsible Business Conduct regulations, which come into effect on 1 January 2027, and asks whether they will finally put an end to decades of financial mis-selling by banks. She explains the new concepts of dark patterns, suitability, and mis-selling, but argues that the regulations lack meaningful consequences. If banks simply have to refund customers without facing serious penalties or management accountability, she believes the incentives to mis-sell remain largely unchanged.She goes on to argue that stronger consumer protection requires more than good intentions. Monika calls for simpler and standardised product disclosures, insurance commission reform, independent mystery-shopping exercises to uncover mis-selling, and meaningful penalties that hold senior management accountable. While welcoming the RBI's recognition that a customer's signature alone is not proof of informed consent, she concludes that lasting trust in India's financial system will only come when mis-selling becomes genuinely expensive for financial institutions.In listener questions, Sai Trivikram from Hyderabad asks how to balance buying a car with planning for a future home purchase, prompting Monika to discuss debt, budgeting, and where to park short-term savings. Viswajeet from Pune raises the long-standing cap on overseas mutual fund investments, leading to a conversation about investor diversification, capital controls, and why the limit may finally need revisiting. Finally, Harish from Mysore seeks guidance on strengthening his financial foundation, opening up a discussion on emergency funds, health insurance, home ownership, retirement planning, and building wealth systematically in his mid-thirties.Chapters:(00:00 – 00:00) Will RBI's New Mis-selling Rules Finally Protect Bank Customers?(00:00 – 00:00) Why Better Disclosures, Commission Reform and Stronger Penalties Matter(00:00 – 00:00) Should You Pay Cash or Take a Loan When Buying a Car?(00:00 – 00:00) Why Is India Still Limiting Overseas Mutual Fund Investments?(00:00 – 00:00) How Should You Build Financial Security When You're Starting Late?If you have financial questions that you’d like answers for, please email us at ⁠[email protected]⁠ Monika’s book on basic money management⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-money-english/⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Monika’s book on mutual funds⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-mutual-funds/⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Monika’s workbook on recording your financial life⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-legacy/⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Calculators⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://investor.sebi.gov.in/calculators/index.html⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠You can find Monika on her social media @monikahalan. Twitter ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Instagram ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Facebook ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠LinkedIn ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Production House: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠www.inoutcreatives.com⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Production Assistant:⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ Anshika Gogoi⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠