The Federal Competition and Consumer Protection Commission (FCCPC) has thrown its support behind the Central Bank of Nigeria’s (CBN’s) new proposal that requires banks to refund customers for failed ATM transactions within 48 hours.
In a statement issued Monday, Mr. Ondaje Ijagwu, Director of Corporate Affairs at the FCCPC, said the agency believes the draft guideline addresses one of the most frequent complaints it receives. The move is based on findings from the FCCPC’s recent Consumer Complaints Data Report, which exposed widespread delays in resolving failed transaction issues.
The FCCPC’s Executive Vice Chairman, Mr. Tunji Bello, called the policy a “timely and long‑awaited correction” to systemic issues in the banking sector. He noted that even during its draft phase, the guideline signals improved coordination among regulators focused on consumer protection.
Bello pointed out that the proposal aligns with several sections of the Federal Competition and Consumer Protection Act (FCCPA) of 2018, particularly those dealing with fair business practices, the elimination of unfair practices, and consumer redress. He added that the FCCPC plans to collaborate with the CBN to set up monitoring systems ensuring compliance and swift action when banks fail to meet the refund timeline.
Under the CBN’s draft framework which was unveiled on October 9, banks must reverse “on‑us” failed ATM transactions immediately. If instant reversal isn’t technically feasible, banks have up to 24 hours to correct it manually.
For “not‑on‑us” transactions (when a customer uses an ATM not owned by their bank), the refund window is capped at 48 hours. Additionally, ATM operators must automatically initiate refunds without waiting for customer complaints or demands.
