Only accounts inactive for 10 years will be affected – CBN explains directive

The Central Bank of Nigeria has reiterated that only bank accounts which are inactive for 10 years or more will be designated as dormant.

The apex bank made this clarification at the weekend in a Frequently Asked Questions regarding its recently released guidelines on Dormant and unclaimed balances.

This comes after the bank had directed all financial institutions in Nigeria to transfer all dormant accounts, unclaimed balances and other financial assets to its dedicated account.

CBN noted that the designated accounts will be known as the Unclaimed Balances Trust Fund, UBTF, and Pool Account.

Following the directive, some Nigerians expressed confusion as to the type of accounts that will be affected by the designation.

Clarifying its position, the CBN said the Guidelines cover Dormant Accounts and domiciliary Accounts.

“Dormant accounts are accounts that have been inactive for more than 10 years, while domiciliary accounts are accounts that hold currencies other than the Naira.

It added that “No active domiciliary account is affected by the Guidelines”.