CBN orders banks to freeze accounts without BVN, NIN from March 2024

 

The Central Bank of Nigeria (CBN) has directed deposit money banks in the country to place a “No Debit” restriction on all accounts without a Bank Verification Number (BVN) and National Identification Number (NIN) from March 2024.

The apex bank issued the directive in a circular jointly signed by the Director of Payments System Management, Chibuzo Efobi, and the Director of Financial Policy and Regulation, Haruna Mustapha.

The circular was sent to all DMBs in the country and seen by journalists on Friday.

The “Post No Debit” is used to describe a restriction placed on specific bank accounts and preventing their owners from making withdrawals, transfers, or any other debits from the accounts.

The measure effectively rendered the accounts inaccessible throughout the restriction.
The CBN also ordered the electronic revalidation of BVN or NIN attached to the accounts by January 31, 2024.

The circular read: “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 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.”