CBN Outlines Fund Recovery Steps for Wrong Transfers

The Central Bank of Nigeria (CBN) has issued regulations to assist Nigerians in recovering money sent to incorrect bank accounts. Under these regulations, customers must first notify their financial institution upon realizing the mistake.

If the recipient is known, the sending bank should facilitate an amicable refund. If the recipient is unknown or refuses to return the funds, the sending bank must inform the receiving bank after verifying the complaint's credibility.

The receiving bank is then required to place a lien on the disputed amount and seek the beneficiary's consent for a reversal. If the beneficiary declines, internal auditors from both banks must mediate within two weeks.

If the recipient has spent the funds, their Bank Verification Number (BVN) may be watch-listed, and the incident can be reported to law enforcement. Customers are advised to report errors immediately and allow two weeks for resolution before escalating unresolved issues to the CBN's Consumer Protection Department.