An elderly man went to a bank to deposit money but ended up purchasing an insurance policy worth 150,000 yuan. According to a complaint from Ms. Qiu, her father had a one-year fixed deposit that matured, and the bank called to notify him to come in for renewal. Upon arriving at the bank, staff took the elderly gentleman to an office, stating that fixed deposit interest rates were low and recommending a five-year product with a higher rate that wouldn't require annual renewal. After the process was completed, 50,000 yuan was transferred from the man's account. Fifteen days later, he received a contract and discovered it was actually an insurance policy, not the fixed deposit he had understood it to be. Ms. Qiu indicated the total premium amounted to 150,000 yuan, payable over three years.
A host from a media program called Mr. He, a manager at the Postal Savings Bank Of China Co.,Ltd. (Pusa Branch), to inquire about the type of business the elderly customer had conducted. Manager He stated the customer had come to renew a fixed deposit. When the host pressed further, asking why the customer was taken to an office instead of handling it at the counter, Manager He explained that the bank sometimes recommends five-year insurance products which offer relatively higher returns. He mentioned the current rate for such a product is over 2%, compared to just over 1% for a regular fixed deposit, and claimed the product's nature as insurance had been explained to the customer. The host pointed out that the family stated they were not informed. Manager He responded that the contract includes a 15-day cooling-off period, and the customer did not request cancellation during that time; objections were only raised by the family when the second year's premium payment was due. Manager He stated that the bank has now reached an agreement with the family and will process a refund. The media program stated it will continue to monitor follow-up developments.
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