The deadline for adherence is January 31, 2024
Financial institutions under its jurisdiction, including banks, other financial institutions, payment service providers, and international money transfer operators, are required by CBN to display their government-registered names on all of their online platforms. Additionally, financial institutions are required to display their corporate names on all of their online business platforms, including websites, portals, and mobile apps.
In essence, the circular mandates that all Nigerian financial institutions that are registered to do business online clearly display their legal names.
The financial institutions have until January 31, 2024, to comply with the directive, according to the CBN.
The CBN’s Director of Financial Policy and Regulation, Haruna Mustafa, signed a circular stating that certain customers have encountered difficulties when attempting to seek redress due to the practice of not displaying their legal name on these online platforms.
What was stated in the circular
- “The Central Bank of Nigeria has observed with concern that some licensed entities that operate transaction websites/portals or online applications do not conspicuously display their corporate names to facilitate recognition by the public. This practice portends risk to consumers of such products and services, including negative perception of the products or services, misleading consumers and difficulty to seek redress when the need arises.”
As a result of the aforementioned, all licensed financial institutions are now obligated to in order to foster confidence and trust in the use of such products and services,
- Provide their corporate names on all of their websites, portals, and online applications with meticulous attention to detail. Provide their corporate names on all of their websites, portals, and online applications with meticulous attention to detail.
- Write “Licensed by the Central Bank of Nigeria” next to or below each of their names.
Hence, by January 31, 2024, financial institutions must guarantee complete adherence to the aforementioned directive; otherwise, appropriate penalties will be imposed.