CBN Gives July Deadline For Trapped ATM Finds Refund

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The Central Bank of Nigeria (CBN) has issued a fresh directive to all Deposit Money Banks to refund all funds in their possession that obtained as a result of Automated Teller Machines (ATMs) non- dispense or partial dispense error before the end of July.

In a circular posted on its website yesterday, the apex bank revealed that its attention had been drawn to the fact that banks have not been refunding their customers that have been short-changed by the ATMs’ partial dispense error, while some with non-dispense error were not refunded.

According to the CBN, the issue was discussed at a meeting of the Chairmen of the Committees of Heads of e-Banking and Heads of Operations held in April which also had Card Schemes and Switches in attendance, during which banks were directed to reconcile their accounts as a first step towards returning such funds to their owners.

As the CBN put it, “You (banks), are by this circular directed to return all the monies in your possession as a result of dispense or partial dispense error, not later than July 31, 2014.”

 The circular which was signed by the CBN’s Director, Banking and Payment System Department, Mr. Dipo Fatokun, warned that appropriate sanctions shall apply for non- compliance.

 It is believed that several billions of naira is trapped in failed ATM transactions across the more than 5,500 branches of Nigeria’s deposit money banks nationwide.

 This has brought about pain and frustration for many of the country’s estimated 25 million bank customers.