In a decisive move to strengthen consumer protection and banking transparency, the Central Bank of Nigeria (CBN) has issued new guidelines mandating commercial banks to provide instant refunds for failed ATM transactions.
According to the directive, all deposit money banks, microfinance institutions, and mobile money operators must ensure that customers are refunded immediately after a transaction fails — eliminating long delays that have frustrated many Nigerians for years.
The apex bank emphasized that the new policy is part of its broader effort to enhance trust in Nigeria’s electronic payment system and protect customers from unnecessary losses due to network or technical issues.
“Any bank that fails to comply with this directive will face regulatory sanctions,” a CBN official warned, noting that the era of waiting days or weeks for failed transaction reversals “is over.”
Financial analysts have hailed the move as a major win for banking consumers, particularly amid growing complaints about failed transfers, card declines, and POS reversals.
The CBN added that the guidelines will be strictly enforced beginning later this month, with compliance reports expected from all financial institutions.