NDIC Pays Out 82.36% of Insured Deposits to Heritage Bank Customers
The Nigeria Deposit Insurance Corporation (NDIC) has successfully disbursed 82.36% of the total insured deposits to customers of the now-defunct Heritage Bank, following the revocation of the bank’s license by the Central Bank of Nigeria (CBN) on June 3, 2024.
In a statement released by Bashir A. Nuhu, Director of Communication & Public Affairs, the NDIC confirmed that payments to depositors have been initiated, with a maximum of N5 million per depositor being disbursed.
This significant milestone was achieved within just four days of the bank’s closure, with the NDIC utilizing Bank Verification Numbers (BVN) to identify depositors’ alternative accounts in other banks and ensure prompt payment.
The statement read: “In the discharge of its deposit guarantee mandate, the Corporation began the payment of the insured deposits of Five Million Naira (N5,000,000) maximum per depositor within a record time of four (4) days of the bank closure.
“This was achieved using Bank Verification Numbers (BVN) as a unique identifier to locate depositors’ alternate accounts in other banks. However, depositors with balances exceeding Five Million Naira have been paid the initial insured sum of Five Million Naira, while the remaining balances (classified as uninsured deposits) will be paid as liquidation dividends upon realization of the defunct bank’s assets and recovery of debts owed to the defunct bank.
“This unprecedented achievement of direct payment through BVN-linked alternate accounts without the need for depositors to visit NDIC offices or fill out forms marks a historic shift for the NDIC in the prompt reimbursement of depositors with payment of about 82.36% of the total insured deposit to date.”
Nuhu further stated that the corporation is actively engaging depositors through phone calls and text messages. He assured the public that the NDIC is working to recover assets and debts to facilitate payments to the depositors through liquidation dividends. According to him, once all insured and uninsured deposits are settled, the NDIC would proceed with payments to creditors according to legal priority.
