The Bank of Russia has identified instances where financial institutions fail to provide complete information about their products and services to clients. According to the regulator, some organizations do not guarantee investment returns and use visual techniques on their websites that make information about related expenses less noticeable.
In many cases, when comparing investment products with bank deposits, institutions emphasize the benefits without disclosing the associated risks. The Bank of Russia also noted that some market participants use the phrase “approved by the Bank of Russia” to increase client confidence, despite this statement being false.
The regulator found these violations both on banks’ websites and in direct communications with consumers. The Bank of Russia has sent an information letter to market participants outlining unfair practices that should be avoided when providing services to customers. The regulator also recommends that financial institutions give consumers full, clear, and reliable information about financial products and services in a timely manner.
