By Nse Anthony Uko
LAGOS (Sundiata Post) – The Central Bank of Nigeria (CBN) will soon start monitoring banks to ensure that dispense errors are automatically reversed and the account of the customer credited.
The CBN had last year directed that banks programme their systems such that partial or non dispense error by automated teller machines are automatically rectified. However, not all banks have complied with this directive.
CBN Director, Banking and Payment System Department, ‘Dipo Fatokun said the apex bank had received complaints of customers against some banks that dispense errors are not reversed even after customers have complained to the bank officially.
Fatokun while speaking on “Recent Developments in the Electronic Payment System and Implication for Customers” at the Financial Correspondents Association of Nigeria (FICAN) bi-monthly discourse, on Saturday said, “we discovered that many of these dispense errors that were not returned to the customers were sitting as idle balances for the banks. So what we have done is that from last year, banks are supposed to electronically return the money for either a non dispense error or partial dispense error.
“We will soon start monitoring the banks because almost all the banks have given us statistics of what they claim they have returned to their customers. The system should be automated such that wether a customer complains or does not complain when there is a partial dispense or non dispense, such customer account should be refunded and if it is not refunded, then they stand liable.”
He also noted that the apex bank has directed banks that allow their customers consummate transactions through USSD on their mobile phones factor in the use of personal identification number (PIN) to ensure the protection of customers deposit.
Presently, some banks allow their customers send money, pay for subscriptions or recharge phone credit using USSD on their phones with only card details as security. Fatokun said the apex bank had realized that the security on the USSD transactions were not enough to protect the customers as the phone and debit card can easily be accessed.
He stated that the banks involved have been notified and directed to factor in the use of PIN to secure customers deposit. The CBN director also noted that other financial institutions such as Microfinance Banks, Mortgage and developmental institutions will soon be incorporated into the Bank Verification Number scheme.
According to him, deposit money banks will serve as registration points but customers of OFIs will have to verify their BVN at their respective financial institutions. He however did not specify if there would be a deadline such as the one given to customers of deposit money banks during the registration process last year.