The Central Bank of Nigeria, CBN, has mandated financial institutions to halt transactions in all funded individual accounts or wallets without Bank Verification Number (BVN) or National Identity Number (NIN), effective March 1, 2024.<\/p>\n\n\n\n
The apex bank also said that all existing unfunded individual Tier1 accounts\/wallets without BVN or NIN shall be placed with immediate effect on \u201cPost No Debit or Credit\u201d.<\/p>\n\n\n\n
CBN disclosed this today in a circular to all commercial, merchant, non-interest and payment service banks, other financial institutions and mobile money operators, noting that all individual existing and new tier 1,2 and 3 accounts\/wallets must have BVN or NIN.<\/p>\n\n\n\n
The circular signed by the Director, Payment System Management Department, CBN, Mr. Chibuzo Efobi and Director Financial Policy and Regulations Department, CBN, Mr. Haruna Mustapha noted that the mandate was part of the apex bank\u2019s effort in promoting financial system stability which has led to it\u2019s amendment of Section 1.5.3 of the Regulatory Framework for BVN Operations and Watch-List for the Nigerian Banking Industry (Guidelines).<\/p>\n\n\n\n
CBN said: \u201cAs part of its effort in promoting financial system stability, it becomes necessary to strengthen the Know Your Customer (KYC) procedures in financial institutions under the purview of the CBN.<\/p>\n\n\n\n
\u201cAccordingly, the CBN hereby issues an amendment to Section 1.5.3 of the Regulatory Framework for BVN Operations and Watch-List for the Nigerian Banking Industry (The Guidelines).
\u201cIn this regard, it is mandatory for all Tier-1 bank accounts and wallets for individuals to have BVN and\/or NIN.
\u201cIt remains mandatory for Tiers 2 & 3 accounts and wallets for Individual accounts to have BVN and NIN;
\u201cThe process for account opening shall commence by electronically retrieving BVN or NIN related information from the NIBSS\u2019 BVN or NIMC\u2019s NIN databases and for same to become the primary information for onboarding of new customers, and \u201cAll existing customer accounts\/wallets for individuals with validated BVN shall be profiled in the NIBSS\u2019 ICAD immediately and within 24hrs of opening accounts\/wallets.
\u201cConsequently, implementation shall be as follows: Effective immediately, no new Tier1 accounts and wallets should be opened without BVN or NIN,
\u201d For all existing Tier1 accounts\/wallets without BVN or NIN: Effective immediately, any unfunded account\/wallet shall be placed on \u201cPost No Debit or Credit\u201d until the new process is satisfied.
\u201cEffective March 1, 2024, all funded accounts or wallets shall be placed on
\u201cPost No Debit or Credit\u201d and no further transactions permitted.
\u201cThe BVN or NIN attached to and\/or associated with ALL accounts\/wallets must be electronically revalidated by January 31, 2024.
\u201cTo ensure uniform and full compliance, the Executive Compliance Officers, Chief Compliance Officers or Heads of the Compliance Functions are advised to acquaint themselves with the attached Guidance Notes which becomes applicable to all institutions regulated by the CBN.
\u201cAlso, a comprehensive BVN and NIN audit shall be conducted shortly and where breaches are identified, appropriate sanctions shall be applied.
\u201cFinally, all financial institutions regulated by CBN are required to apply strict compliance on restrictions on Tier1 accounts\/wallets as they relate to limits on transaction values and cumulative balances.
\u201cPlease be guided accordingly.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"
The Central Bank of Nigeria, CBN, has mandated financial institutions to halt transactions in all funded individual accounts or wallets without Bank Verification Number (BVN) or National Identity Number (NIN), effective March 1, 2024. The apex bank also said that all existing unfunded individual Tier1 accounts\/wallets without BVN or NIN shall be placed with immediate […]<\/p>\n","protected":false},"author":2,"featured_media":12786,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"nf_dc_page":"","_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[4,3],"tags":[],"class_list":["post-12785","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-featured","category-naija-news"],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/www.funminews.com\/wp-content\/uploads\/2023\/12\/image-11.png?fit=848%2C615&ssl=1","jetpack_likes_enabled":true,"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.funminews.com\/index.php\/wp-json\/wp\/v2\/posts\/12785","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.funminews.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.funminews.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.funminews.com\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.funminews.com\/index.php\/wp-json\/wp\/v2\/comments?post=12785"}],"version-history":[{"count":4,"href":"https:\/\/www.funminews.com\/index.php\/wp-json\/wp\/v2\/posts\/12785\/revisions"}],"predecessor-version":[{"id":12797,"href":"https:\/\/www.funminews.com\/index.php\/wp-json\/wp\/v2\/posts\/12785\/revisions\/12797"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.funminews.com\/index.php\/wp-json\/wp\/v2\/media\/12786"}],"wp:attachment":[{"href":"https:\/\/www.funminews.com\/index.php\/wp-json\/wp\/v2\/media?parent=12785"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.funminews.com\/index.php\/wp-json\/wp\/v2\/categories?post=12785"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.funminews.com\/index.php\/wp-json\/wp\/v2\/tags?post=12785"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}