How banks should sell non-bank products: regulator clarifies
It is recommended that banks selling insurance services, capital market instruments and pension products comply with the rules for information provision to customers set by basic standards for financial consumer rights protection. This follows from the regulator's information letter.
Banks acting as insurers’ agents shall meet the basic standard for insurance companies; banks providing brokerage or trust management services shall comply with the standards for brokers and trust managers, respectively; and those offering pension products — with the standard for non-governmental pension funds.
The best practice is to communicate information directly as regards the terms and conditions of the agreement (transaction) and associated risks, against the customer’s signature or its analogue where remote service channels are used.
The regulator recommends that this approach should be applied until specific rules for informing banks’ customers are implemented. According to law, such rules can be introduced by a Bank of Russia regulation in pursuance of Federal Law No.