According to the Central Bank of Nigeria (CBN), accounts without a National Identity Number (NIN) or Bank Verification Number (BVN) will be frozen starting in April 2024.

 

The apex bank directed banks to implement a “Post no Debit” restriction on Friday, December 1, prohibiting customers from making withdrawals, transfers, or any other kind of debit “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 circular by the CBN Director of Payments System Management Department Chibuzo Efobi, and the Director of Financial Policy and Regulation Department Haruna Mustapha read in part.

 

By January 31, 2024, all BVN or NIN linked to accounts or wallets must be electronically revalidated, according to the apex bank.

 

A BVN or NIN verification will be “conducted shortly,” the bank claims, adding that this is a part of its efforts to strengthen financial institutions’ Know Your Customer (KYC) protocols and support the stability of the financial system.

 

Additionally, the bank plans to conduct a “comprehensive BVN and NIN audit shortly,” and if any breaches are found, the proper sanctions will be implemented.

 

“The process for account opening shall commence by electronically retrieving BVN or NIN-related information from the NIBSS’ BVN or NIMC’s NIN databases and for same to become the primary information for onboarding of new customers, and all existing customer accounts/wallets for individuals with validated BVN shall be profiled in the NIBSS’ ICAD immediately and within 24hrs of opening accounts/wallets.

In cases where a potential customer does not have a BVN or NIN, the CBN advised the regulated financial institution to “commence the process of enrolling the individual onto the BVN database and be guided by the extant protocols issued by NIBSS” the circular read