The financial sector, particularly the banking industry, has been undergoing significant transformations with the advent of disruptive technologies in financial services.
In light of these changes, the Central Bank of Nigeria (CBN) has announced that it has received and resolved a staggering 33,437 issues out of a total of 35,453 failed bank transactions, resulting in a refund of N115.45 billion.
During a recent fair organized by the CBN to educate stakeholders and farmers on alternative payment channels to promote financial inclusion, Mr. Elachi Samuel from the Consumer Protection Department provided insights into the resolution process.
He encouraged farmer associations to embrace the CBN’s e-Naira policy, emphasizing the benefits of adopting digital financial services.
Samuel reassured consumers that their complaints regarding failed transactions are taken seriously, and the CBN is committed to addressing these issues.
Since May 20, 2013, until May 20, 2023, the CBN has successfully refunded N115.45 billion in failed bank transactions. Out of the 35,453 complaints received, a remarkable 33,437 cases have been resolved.
The banking sector has faced numerous challenges in recent years due to unresolved failed electronic payment transactions, leading to significant financial losses.
In the first quarter of 2023 alone, failed payment transactions resulted in a 4.83% decline in the value of cashless transactions, decreasing from N39.58 trillion to N37.67 trillion.
According to reports from The Guardian newspaper, approximately N49.4 trillion worth of failed electronic transactions are still awaiting resolution.
These transaction failures commonly occur through unstructured supplementary service data (USSD), failed Automated Teller Machine (ATM) or card transactions, and terminal transactions associated with intermittent slow service and a sluggish internet banking system, among other issues.
During his address, Samuel emphasized the rights and responsibilities of financial consumers, particularly regarding chosen bank products, resolving failed transactions, and the disclosure of transaction details.
He highlighted that consumers have the right to receive transaction history via email to ensure transparency and prevent being shortchanged or cheated.
Samuel also stressed that financial consumers must be aware of their right to report unresolved failed transactions to the CBN, ensuring that their concerns are appropriately addressed by the banking institutions.
As the CBN continues to tackle the challenges of failed bank transactions, it aims to enhance consumer confidence and trust in the banking sector.
By addressing these issues and implementing measures to prevent future transaction failures, the CBN seeks to promote a robust and reliable financial ecosystem that benefits all stakeholders involved
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