• Sunday, March 03, 2024
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CBN to limit high transaction volume to BVN compliant customers


The Central Bank of Nigeria (CBN) has said that from March 2015, transactions valued at N100 million and above would only be allowed for customers with Bank Verification Number (BVN). It also said that by June 2015, all bank customers are expected to comply with the BVN directive, which include but not limited to money transfers, loans, contingencies, among others.

This is in order to increase the tempo in the enrolment by the deposit money banks’ (DMBs) customers on the BVN and to start coupling the enormous benefits of the project.

BVN is a number that enables one person to have a single identification within the financial system.

The apex bank said by June 2015, all bank customers should have the BVN and any bank customer without it would be deemed to have inadequate KYC.

The CBN said banks should intensify efforts to sensitise their customers on the aforementioned development and enroll them for the BVN accordingly.

Also the CBN has approved an industry-wide incentive scheme and awareness campaign for electronic payments stakeholders and in users.
This is in furtherance of its drive for the usage of electronic payments in the country. The scheme is primarily focused to reward users of electronic payments in Nigeria and to further encourage greater adoption by all.
The incentive, according to the apex bank, will reward and appreciate usage across all channels with emphasis on channels of electronic payments that promote financial inclusion.
In a circular released by the CBN, weekend, the scheme will identify and reward various categories of users such as consumers, merchants, and sales persons.
The incentive scheme and awareness campaign is designed as a ‘white-label’ campaign in which stakeholders are required to partner.
Come November 1, 2014, the merchants service charge (MSC) rate will be reduced from the current 1.25 percent or N2,000 to 0.75 percent or maximum of N1,200 per transaction. The current sharing ratio among the various participants will be retained.
In December 1, 2014, there will be point based reward system which will be adopted to reward cardholders, based on point grossed through frequency of card usage. The CBN said the Nigerian Inter-Bank Settlement System (NIBSS) will implement the programme in conjunction with other service providers.

Hope Moses-Ashike