Following the Central Bank of Nigeria’s (CBN) directive on strengthening Know Your Customer (KYC) procedures for Tier 1 accounts, fintech company PalmPay has instructed its users who have yet to comply with the directive to do so promptly.
Since the directive’s introduction last December, PalmPay has launched a new onboarding flow on the app that requires all Tier 1 users to validate their NIN or BVN. It emphasizes that failure to do so will prevent users from completing their registration on the wallet.
All existing users have been advised to validate their BVN or NIN, while users who have previously validated their NIN or BVN must revalidate their KYC information by January 31, 2024. Existing users who have not yet validated their NIN or BVN must do so by March 31, 2024.
Defaulting wallets will be frozen on January 31 and March 31, 2024, respectively.
According to the Managing Director of PalmPay Nigeria, Chika Nwosu, “We are committed to doing our part to foster a secure financial ecosystem. We urge all PalmPay users to update their KYC information on the app as soon as possible to ensure the smooth continuation of service for their wallets.”
Meanwhile, in a bid to encourage users, the company has introduced an incentive payment of up to N500 for users who get ahead of the deadline and validate their information. Additionally, support operations have been strengthened to assist customers through the process.
