RBI sees ‘dark patterns’ in mis-selling of digital loans

RBI deputy governor M Rajeshwar Rao has cautioned about ‘dark patterns’ in mis-selling of digital loans where customers are deceived into availing high-cost loans. The deputy governor has also said that RBI will relook at risk management framework for lenders on liquidity and market risk. According to Rao, mis-selling has taken on a digital form known as ‘dark patterns’. These design interfaces and tactics are intended to deceive users into specific behaviours, such as obtaining high-cost, short-term consumer credit under the guise of an instant loan.