To lend transparency,the Reserve Bank on Monday directed banks to disclose the commission it received from mutual funds and insurers for referring their products to customers. "It has since been decided that banks should disclose to the customers,details of all the commissions/other fees (in any form) received,if any,from the various mutual fund,insurance,other financial companies for marketing,referring their products," the RBI said in a notification. The above instructions,the RBI said,would come into force with immediate effect. Banks need no prior approval of the RBI for bancassurance or for referring mutual funds to their customers.
