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CBN introduces uniform bank account opening forms

By on March 5, 2014

Prospective bank customers across the country will have to fill uniform account opening forms regardless of the bank they choose to do business with.

This was contained in the latest circular released by Central Bank of Nigeria.

The CBN explained in the circular, which was posted on its website on Monday, that the directive was meant to ensure that depositors in banks and financial institutions provide necessary background information for effective Know Your Customer due diligence.

The circular was signed by the Director, Financial Policy and Regulation Department, Mr. Kevin Amugo.

The directive is coming about two weeks after the CBN inaugurated biometric identity system for bank customers across the country.

A copy of the uniform account opening form posted on the CBN website showed that prospective bank customers would now be required to provide their biometric identity number on their account opening forms.

The CBN further mandated banks and other financial institutions to get additional information from existing bank customers to ensure every customer meet up with the requirements in the new uniform account opening forms.

The circular was entitled, “Uniform account opening forms and minimum information requirement for three-tiered Know Your Customer for customers of banks and other financial institutions in Nigeria.”

It reads, “Towards the effort to ensure that depositors in banks and financial institutions provide necessary background information for effective Know Your Customer due diligence, the CBN, in collaboration with relevant stakeholders, has developed Uniform Account Opening Forms.

“The uniformity is to ensure that customers due diligence is consistently and uniformly practised in account opening process for prospective customers of financial institutions.

“Individual prospective customers are required to complete account opening Form A1, Form A2 and Form A for accounts in Tier I, II and III, respectively, while legal entities are to complete form B. Whereas prospective customers are required to provide the relevant information applicable to them as prescribed above, existing customers are to regularly update their records in line with the formats.”

The CBN had on February 14 inaugurated the biometric registration of bank customers and declared that after 18 months of the exercise, bank customers would not be able to do any transaction without their fingerprints.

The central bank said the development represented a milestone in the nation’s financial system and economy in general.

According to the CBN, the new biometric registration which will lead to the issuing of Bank Verification Number, a unique identity for every bank customer, will help to mitigate fraud, money laundering and other vices in the country.

 

 

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