Biometric technology involves the process of recording a person’s unique physical traits - such as their fingerprints and facial features.
This record can then be used to correctly identify the person afterwards. Once a person’s biometrics have been properly captured, the person is given a Bank Verification Number (BVN).
The BVN was introduced by the Central Bank of Nigeria
to strengthen security within the banking system and reduce fraud the incidence
of fraud in the system. Essentially, fraud is reduced because no two person
have the same biometric information - each person has his own unique
fingerprint or facial features for example. As a result, banks can always check
the features of a person doing a transaction to see if those features match the
record which they have. In doing this, banks could ensure that they are dealing
with the right person.
All bank customers in Nigeria are required to
register or enroll for a BVN. To do this, you will need to visit any of your
bank’s branches. The Bank Verification Number which is given to a person will
apply to that same person for ANY bank in Nigeria; this means that you will
have one number which you will use for all banks. So apart from preventing
fraud on customers’ accounts, BVN will help the banking system to fish out
customers who have been blacklisted by one bank and who run off to another
bank.
Because the BVN captures physical features, it is
also very helpful for people who cannot read and write, thereby making sure
that everyone is included in the financial system.
The Central Bank of Nigeria has given different
dates by which different levels of customers must have a BVN. ALL bank
customers are however expected to have their BVN by October 2015.
To avoid the long queues, don’t wait till October
31, 2015 to get your BVN
This
has been courtesy of Guaranty Trust Bank as part of The Bankers Committee
Financial Literacy Public Enlightenment Programme brought to you by The Bankers
Committee, comprising all the commercial Banks in Nigeria and the Central Bank
of Nigeria, CBN.
Tell
us what you think about this post here:https://redmediaafrica.typeform.com/to/sqiFzy
Post a Comment