Central Bank of Nigeria Clarifies Dormant Account Policy

The Central Bank of Nigeria has provided clarification on its recently released guidelines for dormant and unclaimed balances, sparking relief among Nigerians who had been concerned about the fate of their bank accounts.

According to the apex bank, only bank accounts that have been inactive for 10 years or more will be designated as dormant. This means that accounts that have had some activity in the past decade will not be affected by the new policy.

The Central Bank’s clarification comes after it directed all financial institutions in Nigeria to transfer all dormant accounts, unclaimed balances, and other financial assets to its dedicated account, known as the Unclaimed Balances Trust Fund (UBTF) and Pool Account.

The bank’s Frequently Asked Questions (FAQs) also clarified that the guidelines cover both dormant accounts and domiciliary accounts. Dormant accounts are defined as accounts that have been inactive for more than 10 years, while domiciliary accounts are accounts that hold currencies other than the Naira.

Fortunately, the Central Bank has reassured the public that no active domiciliary account will be affected by the guidelines. This news has likely brought relief to many individuals and businesses that hold accounts with foreign currencies.

The Central Bank’s initiative aims to address the issue of unclaimed balances and dormant accounts, which have been a concern for the financial industry and the public alike. By providing clarification on its policy, the bank has demonstrated its commitment to transparency and customer protection.

In conclusion, the Central Bank of Nigeria’s clarification on its dormant account policy is a welcome development that should help alleviate concerns among account holders.