When the Central Bank of Nigeria’s regulation on banning accounts without Bank Verification Numbers and National Identification Numbers goes into effect, over 70 million bank customers could lose access to their accounts.
In a circular dated December 1, 2023, the CBN ordered that all bank accounts without the BVN and NIN be subject to a “Post no Debit” restriction starting on Friday, March 1, 2024.
The directive, which was jointly signed by Haruna Mustapha, the director of financial policy and regulation, and Chibuzo Efobi, the director of payments system management department, stated that “having a BVN and/or NIN is required for all Tier-1 bank accounts and wallets for individuals.” Individual wallets and Tiers 2 and 3 accounts are still required to have a BVN and NIN.
“For all existing Tier-1 accounts/wallets without BVN or NIN: Effective immediately, any unfunded account/wallet shall be placed on ‘Post No Debit or Credit’ until the new process is satisfied. Effective March 1, 2024, all funded accounts or wallets shall be placed on ‘Post No Debit or Credit’ and no further transactions permitted. The BVN or NIN attached to and/or associated with all accounts/wallets must be electronically revalidated by January 31, 2024.”
The circular continued by alerting banks around the nation to the impending “comprehensive BVN and NIN audit” and the “appropriate sanctions that shall be applied where breaches are identified.”
Several banks reminded their clients to regularize their accounts in accordance with the new CBN directive as the deadline drew near. Some allowed consumers to change their accounts online, while others requested that they visit their physical branches.
As of 2021, there were over 133.5 million active bank accounts in the nation, of which about 120 million were savings accounts, according to Statista data.
Customers reportedly kept swarming different bank offices throughout Nigeria in an attempt to fulfill the CBN deadline for adding BVN and NIN to their accounts.
Additionally, the clients requested that the CBN increase the time frame during which they could link their NIN and BVNs to their accounts.