The Central Bank of Nigeria (CBN) has disclosed that effective March 1, 2024, transactions would not be permitted on all funded accounts or wallets without a Bank Verification Number (BVN), and National Identification Number (NIN).
This development was contained in a circular to all commercial, merchant, non-interest, and payment banks; other financial institutions, and mobile money operators in the country.
CBN said, the decision was part of its effort to promote financial system stability and strengthen the Know Your Customer (KYC) procedures in financial institutions under its purview.
The circular said, “effective immediately, no new Tier 1 accounts and wallets should be opened without BVN or NIN,
“For all existing Tier1 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 apex bank said.
CBN said, it is mandatory for all Tier-I bank accounts and wallets for individuals to have BVN and/or NIN.
It said, it remains mandatory for Tiers 2 and 3 accounts and wallets for Individual accounts to have BVN and NIN.
The bank informed that 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 the same to become the primary information for onboarding of new customers, adding that 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.
Recall, in 2017, CBN in a circular directed that “Mobile Money wallet holders on Tiered Level 1 are not required to provide a Bank Verification Number as part of the KYC documentation, while BVN is mandatory for Mobile Money wallet holders on KYC levels 2 and 3”.
