The Nigeria Deposit Insurance Corporation (NDIC) has reassured depositors of the defunct Heritage Bank that significant progress has been made to reimburse insured deposits, following the revocation of the bank’s license by the Central Bank of Nigeria (CBN) on June 3, 2024.
In a statement on Sunday, Hawwau Gambo, the Acting Head, Communication & Public Affairs, advised depositors with balances up to N5 million have largely been compensated, but delays persist for those without Bank Verification Numbers (BVN), alternate accounts, or accounts with restrictions such as Tier 1 limitations or name mismatches.
She advised depositors to check alternate accounts for payments already processed.
She said for uninsured depositors with balances exceeding N5 million, NDIC is working to pay liquidation dividends from recovered assets and debts, adding that the first tranche of these dividends is scheduled for April 2025, ensuring transparency through public advertisements of asset disposal processes.
The Corporation emphasized its commitment to safeguarding depositors’ funds and maintaining public confidence in the banking system.
Other claimants, including creditors and shareholders, will be considered only after all depositors are fully reimbursed.
“It is instructive to state that, depositors yet to be paid their insured deposits are largely those without Bank Verification Number (BVN) or alternate accounts in other banks to enable the Corporation fetch the accounts from the Nigeria Inter-Bank Settlement System (NIBSS) database to effect payment.
“Other depositors in this category are those with post no debit (PND) restrictions on their accounts. Additionally, some accounts have Know Your Customer (KYC) limitations such as Tier 1 accounts that places restrictions on the maximum lodgment of funds, while others have name mismatches that require resolution. Some depositors who have been paid may also be unaware that they have received payments due to lack of mobile phone transaction alerts on their alternate accounts into which the insured sums were paid by the NDIC.
“Therefore, depositors are advised to check their alternate bank accounts, as some payments may have been processed without their immediate awareness.
“Commencement of Payment to Uninsured Depositors While depositors with balances above N5 million have been paid the initial insured sums of the N5 million, the remaining balance in excess of the insured sum of the N5 million already reimbursed, will be paid as liquidation dividends in accordance with the Corporation’s statutory mandate”, the statement reads in part.
