OPay, a financial technology company, has announced that starting from March 1, 2024, all accounts not linked to the National Identification Number (NIN) will be blocked.
This decision was disclosed by Ikponmwosa Odiase, OPay’s Director of Partnerships, during a media session in Lagos.
As part of compliance with the Central Bank of Nigeria’s directives to enhance Know-Your-Customer (KYC) practices in the financial system, OPay has already restricted transactions on its mobile app for tier 1 account owners who haven’t updated their accounts with their NIN.
During the interactive session, Odiase emphasized that linking NIN is now mandatory for all account openings.
Existing customers with tier 1 accounts must update with their NIN to continue transactions, and new customers are required to provide their NIN during the account creation process.
OPay aims to simplify the process by pulling information directly from the NIN into the customer’s wallet, reducing the need for manual data entry.
The deadline for compliance is March 1st, and accounts not linked with NIN by then will be locked.
Odiase highlighted the importance of a face-to-face correlation with the NIN photo to enhance security and prevent fraudulent activities.
He mentioned that any account flagged as fraudulent will be removed from the platform.
The implementation of this new KYC system is seen as a collaborative effort between fintech companies, banks, the Central Bank of Nigeria, and other stakeholders.
Odiase expressed the industry’s acknowledgment of the prevalent issue of fraud and the collective commitment to addressing this challenge through increased collaboration and vigilance.
OPay’s move to link accounts with NIN, in adherence to regulatory directives, reflects a broader industry effort to strengthen KYC practices and combat fraud in the Nigerian financial system.
The collaborative approach involves both existing customers updating their accounts and new customers providing their NIN during the account opening process.
The deadline for compliance is set for March 1, 2024, with a focus on enhancing security measures and ensuring a safer financial environment.
