The Central Bank of Nigeria (CBN) has issued a directive imposing a “Post no Debit” restriction on accounts lacking both the Bank Verification Number (BVN) and National Identification Number (NIN).
This directive, set to take effect in April 2024, means that affected accounts will experience a freeze on withdrawals, transfers, and other debits.
The term “Post No Debit” signifies a limitation placed by banks on specific accounts, essentially locking the funds within, making them inaccessible during this period.
The CBN’s directive was communicated through a circular distributed to all deposit money banks last Friday. The bank clarified that this proactive measure is aligned with its commitment to promote financial system stability and reinforce the Know Your Customer (KYC) procedures within the financial institutions under its purview.
To comply with the new regulations, account holders are required to electronically revalidate all BVN or NIN attached to their accounts/wallets by January 31, 2024. This information was outlined in a circular issued by the CBN Director of Payments System Management Department, Chibuzo Efobi, and the Director of Financial Policy and Regulation Department, Haruna Mustapha.