CBN extends NUBAN to OFIs April 20, nationwide cashless policy March 31

THE Central Bank of Nigeria has reviewed the Nigeria Uniform Bank Account Number (NUBAN) to include other financial institutions.

In a circular signed by its Director, Payments System Management Department, Musa Jimoh, the CBN stated that the new directive would commence on April 20 with a deadline of March 15, 2021.

The bank said this was the standard for the efficient operations of electronic funds transfer and cheque clearing operations by the Deposit Money Banks and the other finance institutions.

It should be recalled that the apex bank first issued the NUBAN standards in August 2010 to achieve uniform customer bank account numbering structure among all the DMDs in Nigeria.

In view of the success of the NUBAN standards across banks and the increasing role of the OFIs in electronic payment system, it said it was imperative for the scope of the standards to be expanded to the OFIs.

The circular read in part, “It is in this regard that the revised standards on Nigeria Uniform Bank Account Number scheme for banks in Nigeria were revised to include the OFIs.

“This circular takes effect from April 20, 2020, but with a deadline of March 15, 2021 for full compliance, after which appropriate sanctions would be imposed for contraventions and noncompliance.

In the same manner, Nigerian banks will begin to charge a certain percentage from account holders in the country for every deposit and withdrawal above N500,000 for an individual and N3 million for corporate.

This policy, which takes effect nationwide Tuesday, March 31, 2020, had started in Lagos, Ogun, Kano, Abia, Anambra, Rivers state, and the FCT since last year, but would now be extended to other states.

It includes a 2 per cent processing fee for cash deposit and 3 per cent  processing fees for a withdrawal above N500,000. For corporate accounts, it is 5 per cent and 3 per cent for withdrawal and deposit above N3 million.

This is according to a Cashless Policy circular issued by the Central Bank of Nigeria (CBN) last year.