Heritage Bank Liquidation: 17.6% of Depositors Yet to Receive Payments
The Nigeria Deposit Insurance Corporation (NDIC) has revealed that 17.6% of Heritage Bank depositors are still waiting to receive payments following the bank’s liquidation. According to the corporation, the delay is attributed to verification issues.
The Central Bank of Nigeria (CBN) revoked Heritage Bank’s license on June 3, citing the bank’s inability to improve its financial performance, which posed a threat to financial stability. The NDIC has since reimbursed about 82.36% of the total insured deposit to date.
The corporation initiated the payment process by utilizing Bank Verification Numbers (BVN) to transfer up to N5 million per depositor into their alternate bank account within four days of the bank’s closure. This innovative method allowed depositors to receive funds without visiting NDIC offices or filling out forms, marking a significant achievement in the Corporation’s history.
The remaining 17.64% of insured deposits yet to be paid are largely depositors whose accounts have post no debits (PND) instructions or have no BVN. The NDIC is actively contacting these depositors through telephone calls and text messages, urging them to complete the verification process.
In addition to the insured deposits, the NDIC is also focusing on the larger pool of uninsured deposits, which exceed the insured limit of five million naira. The corporation has initiated the process of recovering debts and realising assets from the defunct Heritage Bank to distribute liquidation dividends to these depositors.
The NDIC reassured the public that Nigeria’s banking sector remains stable, and depositors’ funds in other licensed banks are safe.