The Central Bank of Nigeria (CBN) has restated that the Bank Verification Number (BVN) issued within Nigeria does not have an expiration date.
According to a statement signed by Isa AbdulMumin, Ag. Director of Corporate Communications at the CBN, the BVN issued in Nigeria remains valid indefinitely once a customer’s biometrics have been captured and enrolled in the NIBSS database.
The CBN emphasized that the BVN does not expire, although the Regulatory Framework for BVN issued in 2021 allows customers to update their records under specific conditions outlined in the document and after receiving clearance from relevant authorities.
The CBN encourages bank customers in the country, especially those whose biometrics have been registered in the system, to continue using their unique identifiers throughout their lifetime.
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Reasons for clarification
The CBN clarification was in response to reports suggesting that the BVN, issued in collaboration with the Nigeria Inter-Bank Settlement System (NIBSS), becomes invalid after a ten-year period.
A trending video on social media was alerting Nigerians on the need to revalidate their BVN after 10 years of issuance. With the BVN programme taking off in 2014, the video circulating on WhatsApp said most Nigerian depositors would need to update their BVNs next year.
Why BVN is for a lifetime
The Bank Verification Number (BVN) in Nigeria is designed to be valid for a lifetime due to its purpose and the benefits it provides. Here are a few reasons why BVN is intended to be a lifelong identification:
Identity Verification: The primary objective of BVN is to establish and verify the identity of bank customers. By capturing an individual’s biometric data, such as fingerprints and facial recognition, the BVN provides a unique identifier that remains constant throughout a person’s lifetime. This helps prevent identity theft, fraud, and impersonation, ensuring the integrity of banking transactions.
Seamless Banking Services: The BVN serves as a means to link and consolidate an individual’s multiple bank accounts across different banks. This linkage enables customers to access various banking services conveniently, such as funds transfer, account balance inquiry, and electronic payments, without the need for separate identification or documentation.
Regulatory Compliance: The implementation of BVN aligns with regulatory requirements and international best practices in the financial sector. Having a standardized and consistent identification system simplifies compliance processes for banks and regulatory authorities. It allows for efficient monitoring of financial transactions, enhancing transparency and reducing the risk of money laundering, terrorist financing, and other illicit activities.
Customer Convenience: By his eliminating the need for repetitive identification procedures, the BVN streamlines banking processes and reduces administrative burdens for customers. Once a customer’s biometrics have been captured and enrolled in the database, they can use their BVN across various banks and financial institutions without the need for additional verifications.
Data Integrity and Security: The BVN system employs robust security measures to protect the biometric and personal information of individuals. Safeguarding this sensitive data ensures that customers can rely on the BVN as a secure and trusted identification method throughout their lifetime.
Overall, the lifetime validity of BVN ensures a reliable and standardized identification system in the Nigerian banking sector, promoting efficiency, security, and ease of access to financial services for customers.