NDIC Pays Out billions to Depositors of Closed Banks
By Patience Ikpeme
The Nigeria Deposit Insurance Corporation (NDIC) has announced the successful reimbursement of depositors from 179 closed microfinance banks and 4 mortgage banks across the country. This information was revealed by the corporation’s Managing Director, Dr. Bello Hassan, during a recent event.
Dr. Hassan, represented by NDIC’s Deputy Director of Communication, Hauwa Gambo, emphasized the corporation’s unwavering commitment to protecting depositors’ funds in licensed banks, even in the event of bank closure.
Highlighting the corporation’s efforts to improve efficiency, Dr. Hassan mentioned the implementation of the “Single Customer View” framework. This framework aims to expedite payments to depositors of closed banks by streamlining the claims process.
Additionally, enhanced collaboration with the judiciary has resulted in faster prosecution of cases related to failed insured banks. This collaboration has helped resolve long-standing liquidation cases like those of Fortune and Triumph Banks.
Dr. Hassan pointed out that these combined efforts have led to a significant improvement in debt recovery rates. This, in turn, has allowed the NDIC to declare a 100% payout of liquidation dividends to uninsured depositors of over 20 liquidated deposit money banks.
Dr. Hassan elaborated on several initiatives designed to make claiming funds easier for depositors: The NDIC has implemented digital remote payment strategies, enabling electronic transfers of funds directly to verified depositors’ alternate bank accounts.
To address the issue of unclaimed funds from depositors with small balances, the NDIC, in partnership with mobile operators, launched the “Deposit Tracer.” This initiative allows depositors to access their unclaimed balances through their mobile phone accounts.
Dr. Hassan concluded by urging depositors of closed banks to take advantage of these various initiatives and claim their funds. The NDIC encourages all depositors to remain informed about their rights and to reach out to the corporation for any assistance required.
