With the Central Bank of Nigeria’s directive looming, over 70 million bank customers face the risk of losing access to their accounts if they fail to link their Bank Verification Numbers (BVN) and National Identification Numbers (NIN) as mandated.
The CBN issued a circular on December 1, 2023, directing banks to impose a ‘Post No Debit’ restriction on accounts lacking BVN and NIN, effective from March 1, 2024. This restriction freezes account activities, preventing withdrawals, transfers, or any debits.
According to the circular jointly signed by CBN officials, accounts without BVN or NIN will face immediate restrictions, while funded accounts will be restricted from March 1, 2024. The deadline for electronic revalidation of BVN or NIN is set for January 31, 2024.
The directive aims to enhance Know Your Customer (KYC) requirements and curb fraudulent activities. Banks have begun notifying customers to update their account information, either through physical branches or online platforms, to avoid restrictions.
However, stakeholders, including Sarafadeen Fasasi of the Association of Mobile Money and Bank Agents in Nigeria, have called for an extension of the deadline, citing challenges in accessing NIN and BVN enrollment points, especially in rural areas.
Fasasi expressed concerns over the National Identity Management Commission’s capacity to issue NINs to millions within the deadline, highlighting infrastructure limitations and power supply issues.
Dr Uju Ogubunka of the Bank Customers Association of Nigeria echoed the call for an extension, emphasizing the need to assess compliance challenges and provide more time for customers to regularize their accounts.
Meanwhile, banks have not yet begun deactivating accounts without BVN and NIN, with some implementing a seamless linking process and assisting customers through emails and text messages.
As the deadline approaches, customers have flooded bank branches, seeking to comply with the CBN directive and avoid potential account restrictions. However, concerns persist regarding the accessibility of enrollment points and the need for an extension to ensure a smooth transition.
Efforts to reach the CBN for comment on the matter were unsuccessful at the time of reporting.
