Following the Central Bank of Nigeria’s (CBN) revocation of Heritage Bank Plc’s banking license, the Nigeria Deposit Insurance Corporation (NDIC) has initiated the bank’s liquidation.
The NDIC announced on Monday that it has started the immediate verification and payment of insured deposits to the bank’s depositors.
In compliance with Section 12(2) of the Banks and Other Financial Institutions Act (BOFIA) 2020, and Section 55 subsections 1 & 2 of the NDIC Act 2023, the liquidation process is now underway.
The NDIC outlined that depositors with alternate bank accounts within the industry will receive up to the insured amount of N5 million per depositor, using their Bank Verification Number (BVN) to locate these alternate accounts. Depositors with funds exceeding N5 million will be paid a liquidation dividend upon the realization of Heritage Bank’s assets and the recovery of debts owed to the bank.
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For depositors without alternate bank accounts, the NDIC advises visiting the nearest branch of Heritage Bank with proof of account ownership and verifiable identification, such as a driver’s license, permanent voter’s card, or National Identity Card. They should also bring their BVN for deposit verification and subsequent payment of insured sums.
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Bashir A. Nuhu, Director of Communication and Public Affairs at the NDIC, noted that claims can also be filed online via the NDIC website’s claims page. Depositors are expected to download and complete the claim forms and upload the necessary documentation.
Creditors of Heritage Bank are advised to file their claims either at the nearest branch or online. The NDIC assured that the payment process for creditors will begin immediately after all depositors have been paid.
The NDIC also called on debtors who have yet to complete their loan repayments to contact the Corporation’s Asset Management Department (AMD).
“The NDIC wishes to assure the entire banking public of its commitment to the continued safety of depositors’ funds in all licensed banks. As such, depositors are urged to continue their banking businesses without fear, as banks whose licenses have not been revoked remain safe and sound,” the statement concluded.