Banks take action against accounts of unregistered associations, societies

Most of Nigeria’s banking service providers have recently commenced the process of closing down the bank accounts of unregistered associations and societies domiciled in their respective banks pursuant to a directive of the Central Bank of Nigeria to that effect.

The Central Bank of Nigeria (CBN) had recently directed that all Community Based Association bank accounts opened without CAC Certificate be closed on or before July 12, 2022.

It further directed any Association, Club, Town Union, Age Grade, Foundation, or Church account affected to register with Corporate Affairs Commissions and get a Corporate Affairs Commissions (CAC) Certificate which will enable them run their bank account freely without hindrance.

In view of this directive, some banks proceeded to notify their customers of the development and urged them to take steps to regularize such affected accounts.

One of such banks, Access Bank PLC in an earlier notice to its customers, had informed that it shall begin the process of closing such accounts from the 12th of July, 2022.