The Nigeria Deposit Insurance Corporation (NDIC) has disbursed N1.48 billion to 10,312 insured depositors affected by the closure of 47 microfinance banks (MFBs). The payments, made as of July 31, 2026, are part of the corporation's broader effort to accelerate the settlement of claims and ensure depositors regain access to their insured funds without unnecessary delays.
Details of the Payouts to Depositors of Closed Banks
According to the NDIC, the affected institutions include Abia SME Microfinance Bank, Frontline Microfinance Bank, and Goldman Microfinance Bank, among others. The corporation disclosed these figures during the 2026 Customer Service Week celebration held in Abuja on Thursday, where it highlighted measures introduced to improve the experience of depositors and other stakeholders.
In addition to the microfinance bank payouts, the NDIC also settled claims involving depositors of two other financial institutions. It paid N1.147 billion to 1,082 depositors of Union Homes Savings and Loans Plc, and N313.02 million to 8,248 depositors of ASO Savings and Loans. These payments reflect the NDIC's ongoing efforts to resolve outstanding claims and ensure that insured depositors can access their funds within the shortest possible time.
How BVN Validation is Speeding Up Claims
The NDIC said it used Bank Verification Number (BVN) validation through the Nigeria Inter-Bank Settlement System (NIBSS) to verify depositors and obtain details of alternative bank accounts. This approach has simplified the claims process and made it possible to transfer insured funds to eligible depositors more quickly. The corporation also disclosed that it had begun paying insured deposits within three days after the revocation of a bank's operating licence, further reducing the waiting period for affected customers.
These technological improvements are part of the NDIC's strategy to strengthen confidence in Nigeria's financial system. By leveraging BVN validation and other digital tools, the corporation aims to minimize delays and enhance the overall efficiency of its deposit insurance operations.
NDIC Pledges Better Customer Service
Speaking at the event, NDIC Managing Director and Chief Executive Officer, Thompson Sunday, said effective customer service required more than simply meeting expectations. He noted that the corporation was focused on creating greater value for the people and institutions it serves, emphasizing that its responsibilities go beyond policies and internal procedures to include the overall experience of stakeholders.
Sunday said the NDIC had recently strengthened its structures, improved operational processes, and increased collaboration while integrating technology and data into its activities. He added that the corporation would continue to improve its services and reinforce the confidence that supports Nigeria's financial system. The NDIC chief executive noted that the corporation's responsibilities in deposit insurance, bank supervision, and bank resolution remained essential to maintaining a stable and reliable financial system.
