Why Some Customers Of Palmpay May Lose Their Accounts This Week

Following CBN’s Directive on strengthening Know Your Customer (KYC) procedures for Tier 1 accounts, fintech company, PalmPay, has warned that it will freeze all non-verified wallet accounts as it urged users who have not yet complied with the requirements to do so.

Since the introduction of the directive last December, PalmPay has launched a new onboarding flow on the app which mandates all Tier 1 users to validate their NIN or BVN.

Failure to do so means that the users would not be able to complete their registration on the wallet.

The firm urged all existing users who have validated their NIN or BVN previously to revalidate their KYC information by January 31, 2024, while those who have not yet validated their NIN or BVN must do so by March 31, 2024.

Speaking, the Managing Director, PalmPay Nigeria, Chika Nwosu, reiterated that defaulting wallets will be frozen by January 31 and March 31, 2024, respectively.

He said: “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 in order to ensure smooth continuation of service for their wallets.”

He informed that the company has introduced an incentive payment of up to N500 for users who get ahead of the deadline and validate their information, adding that support operations have been beefed up to help its customers through the process.