JUST IN: We will pay Heritage Bank customers within one week – NDIC

The Nigerian Deposit Insurance Corporation (NDIC) has given a strong assurance that it is actively processing payments to customers of ailing Heritage Bank.

This development comes on the heels of the Central Bank of Nigeria’s (CBN) revocation of Heritage Bank’s banking licence on June 4, citing the bank’s inability to improve its financial performance despite warnings.

At a press briefing, the Managing Director of NDIC, Bello Hassan, outlined the repayment process and committed to settling customers within a remarkably short period of one week, exceeding the legal stipulation of 30 days.

This swift action by the NDIC aims to protect depositors’ interests and ensure that their funds are paid promptly, thereby maintaining the stability of the financial system.

The CBN’s decision to revoke Heritage Bank’s licence was based on the bank’s inability to improve its financial performance, which posed a threat to financial stability. Despite warnings, the bank failed to show significant improvement, leading to the revocation of its licence. However, the NDIC’s prompt intervention has alleviated concerns, and depositors can now expect a swift resolution to this situation.

The NDIC’s commitment to settling customers within one week is a testament to its mandate to provide deposit insurance coverage to depositors in case of bank failure. By acting swiftly, the NDIC has demonstrated its resolve to protect depositors’ interests and maintain confidence in the banking system.

Heritage Bank depositors can now heave a sigh of relief as the NDIC takes swift action to settle their payments. This development is a reassuring sign that the financial system is designed to protect depositors’ interests, even in the event of bank failure. As the NDIC works to settle payments, depositors can expect a swift and seamless process that will minimize disruptions to their financial lives.