As the new deadline for BVNdraws near - Important things youshould know

By now, most people know about the Bank
Verification Number, commonly referred to as
BVN. The BVN scheme is the registration of
customers in the financial system using
biometric technology.
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.