The Central Bank of Nigeria (CBN) on Thursday released a revised Nigerian Bankers Clearing System (NBCS) rules which prescribed 26 sanctions, including the payment of fines against banks that flout the new directives, amongt other prescriptions to ensure compliance in the system.
The revised NBCS rules, released by the apex bank via a circular signed by the Director, Banking and Payments System Department, CBN, Dipo Fatokun, were designed to achieve a more efficient operation of Automated Clearing System, speedy and efficient collection of cheques, bills and other payment instruments payable or deliverable to member banks of the NBCS by a system or systems of clearing.
In addition, the latest regulatory measure was aimed at prescribing appropriate standards for the use of the NBCS; and to providinga mechanism and framework for the clearing and settlement of payment instruments among member banks.
Specifically, under the new rules transmission of data that is not in agreement with the images will attract a sanction of N1, 000 per item; and banks charging beneficiaries for Inward ACH credits except as prescribed by the CBN attracts 200 percent of the charge/fee subject to a minimum of N5, 000 to be charged per item against the bank.
Other sanctions prescribed by the apex bank under the new regime include, delayed presentation of customers ACH instruments on the clearing system attracts a 10 percent of ACH item with a cap of N10,000 per payment instrument while a bank refusing to pay its own instrument drawn on itself (Manager’s Cheque/Draft) other than in cases of forgery or theft will pay 10 percent flat charge of face value or N10,000 flat charge per cheque, whichever is higher.
The apex bank stated further: “Presenting of Non-NUBAN transactions for clearing attracts a fine of N1, 000 per item; A member bank not treating (approve or reject) Direct Debit mandates within 48 hours of getting alerts is to pay a fine of N5, 000 per item per day; Frivolous return of Direct debit instruments, where valid mandate exists and customer has sufficient funds attracts a fine of N10,000 per item.
“Late transmission of clearing data i.e. where NIBSS had to delay the closure of a clearing session to accommodate late transmission by a bank attracts a fine of N50, 000 within the first hour and every N50, 000 for every additional hour; Presenting or Paying Bank that applies account maintenance charge on debit entries arising from returned cheques processing is to pay a fine of N10, 000 per item.
“In addition, refund of the charge to the customer; Undue delay in transmission of cheques valid for presentment attracts a fine of N10, 000 per item per day”, the CBN added.
Industry analysts believe that the new regulatory requirements will help in fast-tracking the processes of banking clearing system and instill discipline amongst players with the attendant implications for the financial services sector.
