The Nigeria Deposit Insurance Corporation (NDIC) has advised bank depositors across the country to maintain an alternate account in another financial institution to ensure swift reimbursement in the unlikely event of a bank failure.
The Corporation said the measure would enable seamless payment of insured deposits and strengthen confidence in the financial system.
The Corporation gave the advice on Tuesday during its Special Day at the ongoing 2025 Lagos International Trade Fair in Lagos, themed “Connecting Business, Creating Value.”
Thompson Sunday, managing director/chief executive of the NDIC, said depositors should ensure that their personal information is consistent across all accounts and that their Bank Verification Number (BVN) is properly linked to each one.
“Depositors are also encouraged to promptly report any suspected irregularities in their accounts to their banks. Banks are required to resolve such issues within two weeks. If the matter remains unresolved or is unsatisfactorily handled, complaints should be escalated to the Nigeria Deposit Insurance Corporation (NDIC) or the Central Bank of Nigeria (CBN) through the appropriate channels,” he said.
Represented by Olawale Sule, director of the Claims Resolution Department at the NDIC, Sunday emphasised that maintaining a safe, sound, and stable financial system is a shared responsibility among banks, regulators, and depositors.
“We therefore call on all depositors and stakeholders to remain vigilant and proactive in fulfilling their respective roles. At the NDIC, we remain steadfast in our commitment to promoting financial system stability and inclusion,” he stated.
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He explained that the NDIC exists to guarantee depositors’ funds, supervise banks, resolve failing institutions, and liquidate failed banks. The Corporation works closely with the CBN to maintain banking sector stability, enforce regulatory compliance, and ensure effective oversight of deposit-taking institutions.
According to him, the Corporation’s tagline, “Protecting Your Bank Deposits,” reflects its strong commitment to financial inclusion and stability, reassuring Nigerians that their savings remain secure.
Sunday noted that the NDIC has made significant progress in strengthening depositor protection, particularly through increased deposit insurance coverage. Currently, the NDIC insures depositors of Deposit Money Banks (DMBs), Mobile Money Operators (MMOs), and Non-Interest Banks (NIBs) up to ₦5,000,000 per depositor, while for Payment Service Banks (PSBs), Microfinance Banks (MFBs), and Primary Mortgage Banks (PMBs), the coverage is ₦2,000,000 per depositor.
“With this expanded coverage, approximately 99 percent of depositors are fully protected, demonstrating our unwavering commitment to deepening public confidence in the banking system,” he said.
He further explained that in the rare event of a bank failure, depositors whose balances exceed the insured limit would first receive payment up to the insured amount, while the remaining balance would be paid through liquidation dividends from the proceeds of the failed bank’s assets, ensuring fairness and transparency.
Sunday also used the occasion to commend the Lagos Chamber of Commerce, Industry, Mines and Agriculture (LCCI) for its tireless efforts in organizing the annual Trade Fair, noting that the platform has consistently promoted trade and investment, showcased innovation, enlightened the public on financial sector developments, and contributed significantly to Nigeria’s economic growth.
“The theme of this year’s Fair aligns closely with the public policy objectives and mandate of the NDIC. For the past 36 years, the Corporation has served as a vital component of Nigeria’s financial safety net, playing a pivotal role in promoting the stability of the banking system by providing a strong and reliable layer of protection for depositors’ funds. Indeed, a stable banking system remains an indispensable pillar that sustains business connectivity and enables value creation,” he stated.
