The move is a part of the effort taken by China to crack down on illegal soliciting.
Additionally, the Shanghai branch of CBRC and the city’s banking association have also begun taking customer complaints on employee misconduct through their own hotlines.
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CBRC has taken the step after a former employee of Huaxia Bank Co. was suspected of promoting an unauthorized investment product that later failed.
Chinese banks have been relying on wealth management products, which offer higher returns than benchmark deposit rates, to keep customers from moving savings to rival banks.
Recently, CBRC had banned bank employees from selling wealth management products without authorization and had told the banks to stop selling private-equity related products or misleading customers into buying such products.
Bloomberg cited the regulator as saying that the hotlines in Shanghai will also be used for reporting staff that solicit private loans.
