Regulatory Alerts2016-07-29 | BPS/DIR/CIR/03/005Circular to all Banks and other Financial Institutions
The Central Bank of Nigeria has issued a circular to strengthen the Nigerian payments system, addressing several directives. These include removal of fixed interest rates on credit cards, discontinuing address verification for customers with BVN, embedding BVN biometric data in payment cards, approving BVN watch-listing modalities and using Credit Risk Management System (CRMS) data to enrich the BVN watch-list. Savings account customers are also limited to depositing cheques not exceeding N2,000,000 per day with BVN. Compliance is required for all banks and financial institutions.
CENTRAL BANK OF NIGERIA entral Business District M.B. 0187.
+234 - 0946238445 BPS/DIR/GEN/CIR/03/005 July 28, 2016 CIRCULAR TO ALL BANKS AND OTHER FINANCIAL INSTITUTIONS The Central Bank of Nigeria, in furtherance of its efforts at strengthening the Nigerian Payments System, hereby issues the following directives:
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The Removal of fixed interest rate on Credit cards.
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Discontinuation of actual address verification in account opening, for customers with the Bank Verification Number (BVN).
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Banks should begin to embed BVN biometric data in payment cards issued henceforth, to facilitate off-line BVN verification and biometric-based customer authentication on such payment devices as, ATMs, POS, Kiosks, etc.
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Approval of BVN Watch-listing modalities and release by CBN of necessary Credit Risk Management System (CRMS) data, to facilitate its use for enriching the BVN watch-list.
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Savings account customers with BVN should be allowed to deposit cheques not more than N2,000,000.00 (two million naira) in value into their accounts, per customer, per day.
Please be guided and ensure strict compliance with the content of this circular.
'Dipo Fato Director, Banking & Payments System Department