Review of information asymmetry in banking in the Russian Federation

DOIhttps://doi.org/10.1108/JMLC-09-2021-0092
Published date23 October 2021
Date23 October 2021
Pages779-791
AuthorImeda A. Tsindeliani,Irina E. Mikheeva
Review of information asymmetry
in banking in the
Russian Federation
Imeda A. Tsindeliani
Department of the Financial Law, Russian State University of Justice, Moskva,
Russian Federation, and
Irina E. Mikheeva
Department of Banking Law, Kutan Moscow State Law University (MSAL),
Moscow, Russian Federation
Abstract
Purpose The purpose of thisstudy is to identify the prospects and main directionsfor improving Russian
legislationon the protection of the rights of consumers of nancial servicestaking into account the specics of
informationasymmetry in banking.
Design/methodology/approach Using the method of economic and legal analysis, the essence of
information asymmetry in banking in the Russian Federation was considered. Taking into account
international experience, the analysis of the legislation of the Russian Federation in the existingregulatory
and legal eld is carried out. A forecast of probable changes in the eld of legal regulation of information
asymmetryissues in banking was also carried out.
Findings This paper dealswith cases when information asymmetry can be recognizedas unfair behavior.
The main features of informationasymmetry in banking on the part of credit institutions in terms of banks
failure to provide information on the content of banking services on the right to refuse additional services
have been studied.
Originality/value This study suggests that the current Russian legislation does not provide the
necessary protection for consumers of nancial services from information asymmetry. Based on a
comprehensive analysis of legislation and judicial practice, the information asymmetry in this paper is
delimited as an economic and legal concept; the prerequisites and main forms of information asymmetry in
banking are determined. The main provisions and conclusions of this study can be used in legislative
activitieswhen developing provisions on the protection of the rights of nancial servicesconsumers.
Keywords Information asymmetry, Credit institutions, Inequality of the parties, Unfair behavior
Paper type Research paper
Introduction
The concepts of informational and contractual asymmetry are an invariable component of
bankingclient relations. The essence of these concepts lies in the fact that a client either
does not have sufcient information about the banking product or does not understand it
properly and, in addition, is deprived of the practical ability to inuence the terms of an
agreement regarding the acquisition and use of this product (Vishnevskiy, 2017a).
Availability of data and materials: Data will be available on request.
Competing interests: The authors declare that they have no competing interests.
Funding: This research did not receive any specic grant from funding agencies in the public,
commercial or not-for-prot sectors.
Review of
information
asymmetry
779
Journalof Money Laundering
Control
Vol.25 No. 4, 2022
pp. 779-791
© Emerald Publishing Limited
1368-5201
DOI 10.1108/JMLC-09-2021-0092
The current issue and full text archive of this journal is available on Emerald Insight at:
https://www.emerald.com/insight/1368-5201.htm

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