K. ARAVIND
Investors and taxpayers have certain rights of their own. Most people are not aware of this.
You have the right to know how much commission the supplier gets when you buy insurance policies and mutual fund schemes. In the case of insurance products, the commission of the supplier depends on the policy premium. The distributor is required to disclose commission information before you can sell the policy. The information about the commission is provided in the proposal form of the unit linked insurance policy (ULIP).
If the insurer is not satisfied with any of the terms or features of the policy, the policyholder can cancel the policy within 15 days of receipt of the policy document. These 15 days are referred to as the free-look period. The policyholder can reach a decision within 15 days after reading the policy document in detail. If the policy is cancelled, the full premium paid will be refunded to the owner. The policyholder has to apply for cancellation of the policy during the free look period in the prescribed form (free look request form). The reason for cancellation of the policy should be stated.
It is not uncommon for bank borrowers to default on their EMIs due to unforeseen circumstances. First, the bank or financial institution gives a 60 days’ notice. During these 60 days you can inform the concerned bank officers about your adverse situation. The recovery agent of the bank or financial institution has no right to harass you during this period. You may only be contacted by phone between 7am and 7pm. If the recovery agent speaks abusively to you, you have the right to approach the bank and file an FIR.
You do not have to bear the financial loss if someone misuses your debit or credit card. Such transactions should be reported to the bank immediately. The card can be blocked to avoid further misuse.
If you have a refund within 90 days of filing your income tax return, you are entitled to receive it. In case of late refund, you are entitled to a fixed percentage of the refund amount per month as interest. If the refund is not received within 90 days, you can approach the Assessing Officer or lodge a complaint through the Income Tax Department’s website.
If there is any change in the investment structure of a mutual fund, the investor should be informed. Investors have the right to withdraw their investment from the fund without having to pay an exit load before the change takes effect.
