CBN Guidelines for Claiming Funds from Dormant Accounts

The Central Bank of Nigeria (CBN) now allows next-of-kin, legal representatives or beneficial owners to claim funds from dormant accounts. Clear guidelines outline the steps necessary to access these unclaimed balances.

Individuals must submit applications at their respective banks along with legal proof of their right to claim. For businesses, the documentation required includes details about directors, authorised signatories, and business addresses.

Management and Refund Process

The CBN manages dormant accounts and unclaimed funds. It has set up a dedicated office, overseen by a management committee, for this purpose. Dormant funds are stored in the Unclaimed Balances Trust Fund (UBTF) Pool Account and invested in safe securities like Nigerian treasury bills.

Beneficiaries are assured of receiving their principal and any accrued interest within 10 working days from when the CBN processes a properly documented claim. Claimants should visit their banks to fill out an asset reclaim form, providing proof of account ownership, a sworn affidavit, and valid identification.

The banks will verify these claims and then submit them to the CBN, which will handle the refunds promptly.

Exemptions and Notifications

The policy includes funds in both dormant naira and foreign currency accounts, but active foreign currency accounts are not affected. An account is deemed inactive if it has no customer-initiated transactions for six to twelve months and is considered dormant if the inactivity continues for a year.

Accounts eligible for transfer to the CBN have been inactive for at least ten years. These include current, savings, term deposits, and accounts used for shares and mutual investments.

Accounts that are exempt from being declared dormant include those under litigation, investigation, or those encumbered by legal claims or collaterals.

Banks must notify account holders via email, text message, or letter once an account becomes inactive and must continue these notifications quarterly.