BREAKING ! Before You Lose Your Money In Banks, READ This As CBN Issues NEW Order
The Central Bank of Nigeria (CBN) has released revised guidelines for managing dormant accounts, unclaimed balances, and other financial assets in banks and other financial institutions in Nigeria. These guidelines are set to take immediate effect.
This update comes after the conclusion of a review process that involved extensive consultation with stakeholders. The revised guidelines replace the previous ones issued in October 2015. The new guidelines are based on Section 72 of the Banks and Other Financial Institutions Act (BOFIA) 2020.
The main objective of these guidelines is to standardize the management of dormant accounts and unclaimed funds. They provide a clear procedure for how banks and financial institutions should handle these balances and assets.
This ensures that the management process is consistent and transparent across all institutions. One key feature of the guidelines is the introduction of a standardized procedure for the administration of dormant accounts and unclaimed balances.
This includes specific steps that banks must follow to handle these funds. The guidelines also outline the process for transferring these funds to the CBN. Detailed templates for reporting these transfers on a quarterly basis will be provided to the banks and financial institutions at a later date.
The CBN’ s decision to revise these guidelines was influenced by feedback and recommendations from various stakeholders. During the review process, the CBN engaged with relevant parties to ensure that the new guidelines would be practical and effective.
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This collaborative approach was aimed at addressing any issues that might have arisen from the previous guidelines and to make improvements where necessary. The implementation of these guidelines is expected to improve the management of dormant accounts and unclaimed balances in Nigeria.
It will help to protect the interests of account holders and ensure that their funds are handled appropriately. Additionally, it will enhance the overall transparency and accountability of financial institutions in managing these assets.
The new guidelines also underscore the importance of regular communication between banks and their customers. Banks are encouraged to keep their customers informed about the status of their accounts and to take proactive measures to prevent accounts from becoming dormant.
This includes reaching out to account holders to remind them of their account status and providing them with options to reactivate their accounts.
