Banks refund N3.09 billion to customers over fraud, excess charges, others

Deposit Money Banks (DMBs) in Nigeria refunded a cumulative sum of N3.093 billion to customers in 2018, due to various claims ranging from Excess/Unauthorised charges, Frauds, Guarantees, Dispense errors and Funds Transfers.

The disclosure was contained in the Financial Stability Report recently released by the Central Bank of Nigeria, covering the year 2018.

According to the CBN report, total claims made by customers in 2018 alone amounted to N7.99 billion and $1.76 million, while the sums of N3.09 billion and US$1.724 million were refunded to customers. This means banks refunded only 38.6% of the claims in local currency connected to Excess/Unauthorised charges, Frauds, Guarantees, Dispense errors and Funds Transfers.

CBN report showed that a total of 1,612 complaints were lodged by consumers of financial services in the period under review. Essentially, out of the total 1,612 complaints received in the financial sector, 1,602 complaints or 99.38% were against banks, while 10 complaints or 0.62% were against Other Financial institution (OFIs).

While several complaints were received, a total of 1,496 complaints were successfully resolved or closed in the period under review. This means the banks resolved 77.5% of complaints received in 2018.