NDIC assures customers of quality coverage

The Nigeria Deposit Insurance Corporation (NDIC) has assured bank customers of the recently licensed Payment Service Banks (PSBs) of adequate coverage in the event of failure.

Speaking at the NDIC special day at the ongoing Lagos International Trade Fair, the Managing Director and Chief Executive of the Corporation, Ibrahim Umaru, noted that the corporation had taken steps towards securing the funds of depositors to further encourage financial inclusion in the country.

The Central Bank of Nigeria (CBN) had introduced the PSBs as a way of taking financial services to the rural areas where financial exclusion is high and banking penetration is low.

Umaru, who was represented by the Director, Special Insured Institutions Department, NDIC, Mr. Etopidiok Joshua James, said NDIC has designed an appropriate Differential Premium Assessment System (DPAS) Matrix for Premium computation/ payment as well as set an insurable limit to the depositors in the event of failure.

“The corporation is taking these measures so as to engender confidence in the system and to discourage bank customers from keeping cash at home, shops and other places outside the banks.

“Monies kept outside the banks are not insured by the corporation and are susceptible to loss through robbery, theft or fire outbreak,” he said.

Etopidiok also noted that as at June 39, 2019, the corporation received 35 petitions from bank customers on various issues such as ATM frauds, unauthorized funds transfers, cheque related complaints among others.

Investigations and mediation were carried out where necessary and customers were appropriately reprieved, he said.