[Direct answer]Yes. When banks sell insurance products, if they exaggerate the returns, conceal the losses of withdrawing insurance policies, or misrepresent insurance as deposits, this constitutes misleading sales, and in serious cases, it can be deemed fraud. According to Article 148 of the Civil Code of the People's Republic of China, the party who has been deceived has the right to request the rescission of the relevant contract; according to Article 55 of the Consumer Rights and Interests Protection Law of the People's Republic of China, the operator who has committed fraudulent acts shall increase the compensation by three times the price, and if the amount is less than 500 yuan, it shall be calculated at 500 yuan; Article 131 of the Insurance Law of the People's Republic of China also prohibits insurance agents from deceiving insureds. It should be noted that the right of rescission shall be exercised within one year from the date when the party knows or should have known the grounds for rescission. It is recommended to fix evidence such as double recording, promotional leaflets, and follow-up recording as soon as possible.

I. Problem background and typical scenarios

The most common scenario is that customers go to bank outlets to handle deposit and withdrawal transactions, and are guided by counter staff to purchase products with "higher returns than fixed deposits and can be withdrawn at any time". However, what they receive after signing the contract is a dividend insurance or universal insurance policy with a payment period of three to five years. When they need money urgently and try to withdraw the funds, they find that they can only get back the cash value and the principal may have significantly decreased. Such disputes are concentrated in savings-type, dividend-type, and annuity-type insurance, and the focus of the disputes is usually whether there is misleading sales, how to calculate the losses, and who should compensate - the bank or the insurance company. In Beijing, similar cases are also handled primarily along these three main lines.

II. Key points of contention

First, determination of misleading. Sales personnel's verbal promises are often not written into contracts, and it is necessary to rely on audio and video recordings of the sales process, promotional leaflets, WeChat chat records, and follow-up surveys to reconstruct what was actually said at the time. Second, determination of the responsible party. Banks are the agents for sales, and insurance companies are the product providers. Both parties may bear responsibility separately or jointly. When seeking legal redress, it is generally advisable to sue both the bank and the insurance company together to avoid mutual shirking of responsibility. Third, determination of the scope of compensation. It is possible to claim for the rescission of the contract, the return of the premiums paid, and compensation for the loss of funds occupied; if it constitutes fraud, it is also possible to claim for triple compensation. Fourth, determination of the obligation of suitability. If the seller fails to fulfill the obligation of suitability and causes losses by selling products that exceed the client's risk tolerance, the seller shall bear corresponding compensation liability.

III. Professional analysis by Henglue Lawyers

Judging from Henglue's experience in handling financial consumer affairs, the key to winning or losing disputes over bank-sold insurance products almost always lies in the evidence. The double-recorded materials from the sales process are kept by the bank, and when clients request to retrieve them, they are often told that they need to go through internal approval. If clients do not timely request to retrieve the evidence in writing, it is easy to lose it. Our usual approach is to first submit written complaints to the bank and insurance company respectively and lock in their response guidelines, then apply to the court to retrieve the double-recorded materials, follow-up survey questionnaires, and commission settlement records in litigation. By verifying the salesperson's commission ratio, product risk level, and client risk assessment results with each other, we can determine whether there is exaggerated income or risk mismatch. In practice, the court pays more attention to whether the sales process leaves traces and whether the risk assessment is genuine, rather than relying solely on the client's unilateral statements after the fact. Therefore, claims such as "I didn't read the terms clearly" are difficult to win the case solely on this basis if they are not supported by other evidence. For overseas insurance products or overseas insurance policies, it may also involve issues of applicable law and jurisdiction, which need to be addressed according to international rules.Foreign-related and cross-border legal servicesThe rules should be judged separately, and the calculation of the loss from cancelling the insurance policy also needs to be considered in conjunction with other factors.Contract disputesWe will handle the claims settlement process together with the appraisal of the damage to the vehicle.

IV. Practical suggestions and legal basis

According to Article 148 and Article 157 of the Civil Code of the People's Republic of China (adopted on May 28, 2020 and implemented on January 1, 2021), Article 8, Article 20, and Article 55 of the Consumer Rights and Interests Protection Law of the People's Republic of China (amended on October 25, 2013 and implemented on March 15, 2014), Article 131 of the Insurance Law of the People's Republic of China (amended on April 24, 2015), and Articles 72 to 78 of the Summary of the National Court's Civil and Commercial Trial Work Conference (Law [2019] No. 254, issued on November 8, 2019) regarding the obligation of appropriateness, consumers can claim to rescind the contract, return the premiums, and compensate for losses. It is recommended to proceed in four steps: First, organize and preserve the contract, insurance policy, payment receipts, promotional leaflets, and chat records; Second, request the bank and insurance company in writing to retrieve and seal the dual-recorded materials; Third, file complaints with regulatory departments and institutions simultaneously, and fix the other party's reply; Fourth, within the one-year rescission period, decide whether to sue. If you need to recover the principal and losses, you can apply for property preservation simultaneously, and take necessary legal actions if necessary.Specialised legal servicesCoordinate the pace of complaints and litigation.

5. Henglue Law Firm's Reminder

When seeking justice against misleading sales practices, the two most worrying issues are the loss of evidence and the expiration of the statute of limitations. Recorded materials typically have a retention period, and the longer they are delayed, the harder it will be to retrieve them. The one-year revocation period starts from the date when the revoker knows or should have known about the revocation grounds. Once it expires, the chances of winning the case will significantly decrease. In practice, there are several points that are easily overlooked: First, do not sign the withdrawal agreement easily, as signing it may be regarded as voluntarily accepting the losses of withdrawal; Second, do not just complain without suing, as the complaint period is long and lacks compulsory enforcement; Third, if the insurance policy has already been settled or the dividends and survival benefits have been received, it will affect the way of revoking and refunding the contract. If the other party fails to perform after the judgment takes effect, you can seek legal remedies through other channels.Creditor's rights and debts, and enforcementThe program applies for enforcement.Beijing Henglue Law FirmIt is recommended that you prepare the litigation evidence simultaneously when initiating a complaint, as this will ensure a more efficient process by running the two procedures in parallel.

VI. Frequently Asked Questions

Q1: Can we win the lawsuit against banks and insurance companies?

Whether you can win the case mainly depends on whether there is evidence in the sales process. If there are double recordings, promotional leaflets, or chat records that can prove exaggerated benefits and concealed losses from policy cancellation, the chances of having the contract revoked or receiving compensation are higher; but if there are only unilateral statements made after the fact without other materials to corroborate them, it will be more difficult. It is recommended to first conduct an inventory of evidence and then decide whether to file a complaint or initiate legal action.

Q2: What evidence do I need to prepare?

The original contract and insurance policy, payment receipts and bank transaction records, promotional leaflets and product manuals, audio and video recordings of the sales process, WeChat or SMS chat records, customer service feedback surveys, and my own risk assessment results. The more evidence that can replicate the verbal promises made during the sales process, the higher the chances of winning the case.

Q3: How much does it typically cost to handle cases like this?

The litigation fees are calculated based on the amount of the dispute and are generally paid in advance by the plaintiff. After the plaintiff wins the case, the losing party will bear the corresponding portion of the litigation fees. The attorney's fees are determined through negotiation based on the amount of the claim or the stage of the litigation. If it is necessary to retrieve the audio-visual evidence or conduct a loss assessment, there will be additional expenses, which will be based on the actual costs incurred.

Q4: How long does it take from making a complaint to getting the money?

It usually takes several weeks to receive a response to a complaint filed with an agency. If mediation fails, the case will proceed to litigation. The first-instance trial typically lasts three to six months, and cases involving second-instance trials or subsequent enforcement may take even longer. The one-year statute of revocation does not stop running due to a complaint, so it's necessary to set aside time to file a lawsuit in advance.

Q5: What should I do first?

First, save the contract, insurance policy, payment receipts, and all materials related to the sales process. At the same time, request the bank in writing to retrieve and seal the video and audio recordings. Then, file complaints simultaneously with the bank, insurance company, and regulatory authorities to secure evidence for future litigation.

The above answer is based on the judicial practice in Beijing. The judicial interpretation in other provinces and cities may vary. For specific cases, please refer to the local rules and evidence situation.

If you are facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the evidence materials, to avoid missing the statutory time limit. →Financial capital legal services·Beijing Henglu Law Firm

Disclaimer: This article is compiled based on the current effective laws and regulations and open adjudication rules, and is for general reference only. It does not constitute a formal legal opinion on specific cases. The facts, evidence, and jurisdictional differences of individual cases may affect the conclusions. In the event of a dispute, please consult a practicing lawyer in a timely manner.