NDIC Explains Delay In Paying Some Heritage Bank Customers

The Nigeria Deposit Insurance Corporation (NDIC) has blamed account names discrepancies in Bank Verification Number (BVN) linked alternate account of some defunct Heritage Bank customers for the delay in settling their insured deposits.

However, Managing Director of the Corporation, Mr Bello Hassan, who spoke on Sunday in Abuja, explained that substantial payments have already been made to depositors of the defunct bank that do not have BVN account linked issues.

Bello also urged depositors of the bank who were yet to receive their insured deposit credit alert to visit the NDIC’s website and complete the necessary verification forms for their payment.

He said the verification would also include depositors without BVN alternate account, adding; ”We have already commenced the payment of customers since June 6, 2024. We have paid substantial amount to the customers.

”What we leverage in making the payment is BVN of customers. We trace alternate accounts in other banks and pay them their insured amounts.”

Specifically addressing the issues delaying the payments, the NDIC boss said; ”There are some that we have challenges linking up because of some discrepancies between the names and others.

”We are calling on customers that have not received their alerts in their alternate accounts to come forward and complete their verification forms so that we can pay them”.

On payment of depositors with more than five million naira with the bank, Hassan said they would be paid liquidation dividend.

According to him, NDIC has already commenced the process of disposing the physical buildings and also set the process in motion to make sure that we recover the loans and advances that were granted the bank.

”That is what we use in paying those liquidation dividends. We are not going to wait until we recover everything, no.

”As we recover, we will also advertise to say that we will pay liquidation dividends so that concerned depositors will be on the look out for alerts in their accounts”, he said.

On June 3, the Central Bank of Nigeria (CBN) revoked the banking licence of Heritage Bank Plc, maintaining that the decision followed the bank’s failure to improve its financial performance, thereby posing a threat to the nation’s financial stability. – With NAN reports