NDIC pays N1.48bn to 10,312 depositors of 47 closed microfinance banks

The Nigeria Deposit Insurance Corporation (NDIC) has paid N1.48 billion to 10,312 insured depositors of 47 microfinance banks that were recently closed. The corporation said the payments were made as of July 31, 2026.

The NDIC disclosed the figures during the 2026 Customer Service Week celebration in Abuja on Thursday, where it outlined steps taken to speed up claims settlement so depositors can access their insured funds without unnecessary delays.

BVN validation speeds up claims

The corporation said it used Bank Verification Number (BVN) validation through the Nigeria Inter-Bank Settlement System (NIBSS) to verify depositors and obtain details of their alternative bank accounts. That approach, it said, has simplified the claims process and made it possible to transfer insured funds to eligible depositors faster.

The NDIC also said it has begun paying insured deposits within three days after a bank's operating licence is revoked, cutting the waiting period for affected customers.

Some of the closed institutions covered by the recent payments include Abia SME Microfinance Bank, Frontline Microfinance Bank and Goldman Microfinance Bank.

Union Homes, ASO Savings depositors also paid

Beyond the microfinance bank closures, the NDIC said it settled claims involving depositors of two other financial institutions. It paid N1.147 billion to 1,082 depositors of Union Homes Savings and Loans Plc, while N313.02 million went to 8,248 depositors of ASO Savings and Loans.

According to the corporation, the payments reflect its ongoing efforts to resolve outstanding claims and ensure insured depositors get their funds within the shortest possible time.

NDIC promises better service

NDIC Managing Director and Chief Executive Officer, Thompson Sunday, said effective customer service required more than simply meeting expectations. He said the corporation was focused on creating greater value for the people and institutions it serves, noting that its responsibilities go beyond policies and internal procedures to include the overall experience of stakeholders.

Sunday said the NDIC had strengthened its structures, improved operational processes and increased collaboration, while integrating technology and data into its activities. He added that the corporation would keep improving its services and reinforce the confidence that supports Nigeria's financial system.

The NDIC chief executive noted that the corporation's responsibilities in deposit insurance, bank supervision and bank resolution remain essential to maintaining a stable and reliable financial system.

Faster claims payments matter for confidence. When depositors in small banks see insured funds returned quickly after a licence is revoked, the risk of panic withdrawals spreading to weaker institutions drops. For microfinance bank customers, the BVN-linked payout route also removes the paperwork that often delayed payments in the past.