The Central Bank of Nigeria (CBN) has mandated deposit money banks in the country to place a “Post no Debit” on all bank accounts without a Bank Verification Number (BVN) and National Identification Number (NIN) with effect from April 2024.
This was contained in a circular issued by the apex bank on Friday, and sent to all the banks.
Post no debit means that owners of affected accounts will not be able to withdraw money from their accounts.
The CBN also stated that all the BVN or NIN attached to and/or associated with accounts or wallets must be electronically revalidated by January 31, 2024, as part of efforts to promote financial stability in the country.
Accordingly, the financial institution therefore stated that it will enforce section 1.5.3. of the Regulatory Framework of Bank Verification Number (BVN) and Watch-List for the Nigeria Banking Industry to implement the new policies.
The memo further stated that the implementation will mandate that: “All Tier-1 bank accounts and wallets for individuals to have NIN and/or BVN; It remains mandatory that all Tier 2 and 3 accounts and wallets for individual accounts have NIN and BVN. The process for account opening shall commence by electronically retrieving BVN and NIN information on their respective database.
“All existing customer accounts and wallets for individuals with validated BVN shall be profiled in the NIBSS’ ICAD within 24 hours of opening the account.”
Furthermore, the CBN therefore stated that any account holder that violates the stipulated guidelines will have his account placed on “Post no Debit or Credit” until the new process is satisfied.
The CBN said that all financial institutions under the apex bank must adhere to the new guidelines as they relate to limits of transaction values and cumulative balance.
