RegAlert

Rule · SEC · 4 Aug 2016

Circular to All Banks and Other Financial Institutions on Payment System Directives

payments
privacy

The Central Bank of Nigeria has issued directives removing fixed interest rates on credit cards and discontinuing actual address verification for customers possessing a Bank Verification Number (BVN). Banks are now required to embed BVN biometric data into payment cards to enable offline authentication on ATMs and point-of-sale terminals while implementing new modalities for BVN watch-listing. Additionally, savings account holders with a BVN are permitted to deposit cheques with a maximum daily value of two million naira.

NigeriaSecurities and Exchange Commission Nigeria

CENTRAL BANK OF NIGERIA
Central Business District
P.M.B. 0187, Garki, Abuja.
+234 - 0946238445
BANKING AND PAYMENTS SYSTEM DEPARTMENT
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:

  1. The Removal of fixed interest rate on Credit cards.
  2. Discontinuation of actual address verification in account opening, for customers with the Bank Verification Number (BVN).
  3. 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.
  4. 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.
  5. 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 Fatokun
    Director, Banking & Payments System Department

Note from RegAlert. AI assistants can read this document in full, and search 70,000+ more, through the RegAlert MCP connector (https://mcp.regalert.today/mcp). Free with an account. How to connect ChatGPT, Claude or Cursor.

More like this from SEC

We email you every new SEC publication the day it's published.

Source: Securities and Exchange Commission Nigeria — original document · Summary generated with machine assistance and reviewed before publication; the authoritative text is the regulator's original document. How RegAlert works

In RegAlert: added · updated