The Nation Newspaper

Tag: customers

  • CBN extends BVN deadline for Diaspora customers

    CBN extends BVN deadline for Diaspora customers

    The Central Bank of Nigeria (CBN) yesterday extended the deadline for Bank Verification Number (BVN) registration from January 31 to June 30, 2016.

    CBN Director, Banking and Payments System Department, ‘Dipo Fatokun, said the extension followed observations by the CBN showing the low percentage of registration of Nigeria banks’ customers in Diaspora.

    The BVN registration involves capturing of customers’ physiological or behavioral attributes – fingerprint, signature among others has commenced in some banks’ headquarters and branches across the country.

    He said this may be attributed to lack of accessibility to registration centres and unavailability of registration centres in some cities where Nigerian population is high.

    “Consequently, all the commercial banks are hereby requested to note that BVN enrollment for Nigerian banks customers in Diaspora is hereby extended to June 30, 2016. This is to enable such customers complete the enrollment and link the BVN to their banks accounts,” he said in a statement.

    The CBN chief also said the regulator will deploy more registration centres for locations with high Nigerian population. He urged Nigeria banks’ customers in Diaspora to seize the opportunity of this extension to register and link their BVN to their bank accounts.

    The BVN registration for Nigerian bank customers ended last October. Fatokun explained that where an existing customer wishes to register the BVN with his/her bank, capturing his  signature and photo identification document may not be necessary, as the bank is expected to have those records during account opening.

    Also, where an existing customer wants to do a change of name, after his/her enrolment, on BVN, due diligence should be exercised and appropriate legal documents obtained, before the change is effected.

    Fatokun said the new directive is aimed at fast-tracking the enrolment, adding that banks are to give more attention to the enrolment of their customers.

  • Access Bank’s PayWithCapture gives discount to customers

    Access Bank’s PayWithCapture gives discount to customers

    Access Bank has commenced a discount promotion that gets 50 per cent off customer purchases from some of the leading stores, retails outlets and eateries nationwide. The promo tagged ’12 days of Christmas’ will run for 12 days, starting from December 21, 2015 to January 1, 2016.

    To participate, customers are to download PayWithCapture from the Apple store, Google Play Store and Blackberry World. PayWithCapture is Nigeria’s leading innovative contactless payment solution that allows users make payments via generated codes. The mobile payments application and infrastructure enables users to scan a code through their phone cameras at merchants’ point of sale as an alternative to making payments via cards on Point of Sale (POS) terminals.

    PaywithCapture customers are to get up to 50 per cent discount off a variety of purchases and items, such as airtime, movie tickets, food, creameries and taxi services from Domino’s Pizza, Cold Stone Creamery, Genesis Deluxe Cinema, Filmhouse Cinemas, Silverbird Cinemas, Ozone Cinemas, Sweet Kiwi Frozen Yoghurt, SPAR, Debra’s Grace, Easy Taxi, Bungalow’s Restaurant, Spice Restaurant, Traclist, PayPorte, Mall for Africa, Terra Kulture, LG, Edmark, SLOT, MedPlus, Addidde, Rhapsody’s Ikeja, and Bazaar Farm & Storesduring the ‘12days of Christmas’ promo.

    “We are big on giving back! Wewant to ensure that our consumers enjoy this festive period, and these offerings on PayWithCapture’s ’12 days of Christmas’ provide a valid opportunity to usher them into a prosperous New Year”, said Amaechi Okobi, the bank’s Head, Strategic Brand Management.

     

  • How not to treat customers

    How not to treat customers

    Mrs. C. Owoh got in touch with Consumer Watch with a complaint that she bought a plastic bottle of Sprite soft drink that was not as full as it should be.

    She went back to the seller who ignorantly refused to exchange it for her, so she stormed The Nation’s office with the unopened drink. We at The Nation seeing the insignificant missing liquid from the bottle wondered why the woman was bothering herself.

    We contacted the Nigerian Bottling Company (NBC) immediately and Mrs. Peace Ngozi Emele, the Consumer Services Manager, promptly contacted Owoh, apologising for all the inconveniences and invited her to the NBC office at Adidingbi, Ikeja for a resolution meeting.

    At the end, the NBC Consumer Services Manager, in line with the company’s policy, delivered four packs of plastic soft drinks (48 bottles) to the Lagos outskirts home of the aggrieved Owoh.

    This is NBC. An already established brand. A household name. The biggest player in the soft drink market in Nigeria, if not the world.

    What does the wrath of one customer mean to them? But no, they understand what it means to lose even one customer. They understand that customers pay their bills, therefore they go all out to build a strong customer relationship which guarantees customer loyalty.

    This is where I am going to. Mr. Olajide Oladosu, an Estate Surveyor, paid N23,000 for Lenovo A5000 phone on the 30th September, over two months now, all he has to show for the paid phone is the receipt of purchase, a DOA certificate, several correspondences with the Standard Organisation of Nigeria (SON) and Consumer Protection Council of Nigeria (CPC) and correspondences with the other stakeholders.

    Narrating his story, and making available the correspondences and other relevant documents to the reporter, Mr. Oladosu said that the said phone with product number IMEI 7614 was bought from Edge Baseline Solution Ltd, at No. 11, Otigba Street Computer Village Ikeja, Lagos.

    According to him and contained in the letters of complaints he sent to SON and CPC on the 15th October, he was instructed to charge the phone fully before usage and this he did but got baffled when he found he could not hear from the phone.

    He took the phone which has a one-year warranty back to the shop on the 3rd of October. He was referred to the manufacturers service centre, ‘Ensure Services’ at 13, Ola Ayeni Street, Computer Village, just a few steps from where he made the purchase. Unfortunately being a Saturday, the place was shut but he still left a message on the door.

    Monday, the 5th, Mr. Oladosu went back to the service centre. Seeing it was factory defect, and that he brought the phone back within seven days of purchase without any physical damage, he was given a Dead On Arrival (DOA) certificate which will guarantee a replacement from the seller.

    Explaining, he said he took the certificate to the Managing Director of Edge Baseline Solutions, Mr. Onyiye Ejide, but the man declined to replace it which made him to go back to the service centre again and he was now accompanied with a lady staff of Ensure Services but Mr. Ejide refused to replace the phone insisting that previous ones he replaced in the past were not replaced or paid for by the manufacturer, Lenovo, which has an office at Lagos Island.

    Seeking for justice, Mr. Oladosu had to send complaint letters to SON, CPC and copied EFCC requesting them to compel the seller to refund the money he paid for the phone and also pay him N10,000 for incidental expenses he had incurred.

    SON intervened by inviting all the parties involved to a resolution meeting at SON’s office, Lekki Phase 1 on November 2nd. At the meeting, the seller was asked to refund the money paid for the phone while the manufacturer was asked to pay N10,000 to Mr. Oladosu for expenses incurred.

    Two days after the meeting, SON wrote to Mr. Oladosu asking him to send his account details to effect the payment. Thereafter, SON forwarded the details from the aggrieved customer to the seller so he could pay the money.

    Between then and as at the time of going to the press, the money has not been refunded nor the issue resolved.

    In an interview with the MD of the company, Mr. Onyiye he, said he was about to pay the money when he received a letter from the CPC on the 5th of November, exactly three days after the resolution and mediation meeting at SON. In the said letter, CPC asked him to investigate and furnish the council with his response within seven days in order to enable the council expedite action towards an amicable resolution of the case. “I became confused as I thought the matter had already been settled for us by SON. What should I do now? I wondered. Should I follow SON’s directive or CPC? At that point, I had to contact my lawyer who wrote to CPC.”

    To buttress his explanation and prove that he was ready to make the refund, he showed the reporter a text message he sent to the buyer the next day 3rd after the meeting with SON. The text read “Gd morn Mr. Jide, how are you?, hope good. Pls kindly come for the cash refund of Lenovo A5000 and also come along with the ticket issued to you at the Lenovo Service Centre. Tnx.”

    However, according to Mr. Oladosu, a bitter telephone exchange had passed on between him and the seller that day. He said he saw a missed call from the seller and he called back and he was asked to come to their shop for the refund but he refused, insisting that they bring the money to his Ibadan base.

    However, two days after that conversation, SON sent a letter to Mr. Oladosu demanding his account details which was forwarded to the seller.

    Nevertheless, why did the seller allow this simple matter, [yes, simple matter] to escalate to this level? Measuring his words, he said he was not ready to bear the cost of the replacement as similar past experiences has shown that the manufacturer  through their   distributor, ‘Technology Distribution Ltd’, 5 Redemption Crescent Gbagada, will not pick the bills.

    Presenting a copy of receipt he issues to customers, he said he was not in a position to bear the cost of product replacement resulting from factory defect. Stated in the receipt, he said that goods bought in good condition are not returnable nor cash refundable. Also in the receipt customers are advised to test and confirm their stock before leaving the sales point. It is also stated in the receipt that warranty implies return to service centre for technical attention and accessories are not covered by warranty.

    So, the problem was created because of lack of synergy between the seller, distributor and manufacturer. If the manufacturer had paid for past phones replaced by the seller, he would have gladly replaced the one brought by Mr. Oladosu.

    At the Lenovo service centre where the DOA was issued to Mr. Oladosu, the Managing Director Mr. Veetus Vinu, expressed surprise that the case had lingered adding that once the centre issues the DOA letter that it automatically guarantees the customer a new phone from the seller.

    Speaking with Lenovo Country Manager, Mr. Shadrach Oturu, on phone, he said he was aware of the case and had asked the seller to provide an immediate swoop for the buyer, adding that he did not know that the matter had not been resolved. However, Mr. Ejide swiftly denied that he ever asked them to provide any swoop for the aggrieved customer.

    Putting a call to the manufacturer’s service delivery manager, Nkechi Okolo, who has been managing the case, though initially she did not show any eagerness to talk, she later called back to say that she did all in her power to pacify the customer. Alleging that he was a difficult customer, she said wrong information from the distributor that the said phone was a grey import which Mr. Oladosu overheard was another thing that aggravated the man.

    This is a clear case of mismanaging a customer, no matter how difficult he may be. From the chat I had with the Lenovo country manager who fixed an appointment for clarification on the matter and never kept it and the service manager’s initial insistence on speaking at her own time, it clearly shows their low regard for their customers and their understanding of customer service.

    A customer should not be made to bear the consequences of the lack of collaboration between the manufacturer, distributor and the retailer.

     

  • Diamond Bank rewards customers

    Diamond Bank rewards customers

    Diamond Bank Plc has rewarded 15 customers in its ongoing DiamondXtra Season 8 campaigns.

    The millionaires emerged through a live draw in Lagos, which was witnessed by customers, journalists, the public and the management of the bank.

    Thirteen of the winners won N1 million each while one of the customers won N2 million. Mr. Imoh Udoh from Akwa Ibom State, however, won the star prize of Salary4Life, which entitles him to a monthly payment of N100, 000  in the next 20 years.

    According to the bank’s chief spokesperson, Ayona Trimnell, the DiamondXtra draws is a unique customer reward scheme tied to the DiamondXtra account, which promotes a savings culture among Nigerians, thereby deepening the financial inclusion initiative of the Central Bank of Nigeria (CBN).

    With a deposit balance of only N5000 in this special account, customers qualify to participate in the draws and multiples of that amount increases the depositor’s chances of winning.

    The Divisional Head, Consumer and Privilege Banking, Aisha Ahmed, said since the bank initiated the special account, it had given its numerous customers unique privilege of enjoying multiple benefits in one account.

    She said: “DiamondXtra was launched in 2008 to reward our loyal customers, both old and new. This event marks the first monthly draw of the new season to commemorate the launch of Season 8 and 15 lucky customers have emerged winners.

  • ‘Ikeja Electric needs 750Mw more to meet customers’ demand’

    ‘Ikeja Electric needs 750Mw more to meet customers’ demand’

    The Managing Director, Ikeja Electric, Mr. Abiodun Ajifowobaje, in a chat with reporters, speaks on the state of the company’s network, inadequate power supply from the national grid and efforts at metering customers as well as other issues in the power sector. EMEKA UGWUANYI was there.

    On taking over the company on November 1, 2013, you complained of low supply from the national grid. How much are you getting now and what do you need to service your customers?

    When we took over in November, 2013, power allocation to Ikeja was between 300 megawatts (Mw) and 320Mw. At a stage, it went to as low as 200Mw, and due to power supply crisis early in the year, at a time we got zero megawatt. Following improved power generation, especially driven by the progress recorded at Egbin Power which generates 1100Mw, we have in the last few months seen improved allocation to Ikeja, of between 450Mw and 500Mw. This has translated to more power supply to our customers.

    However, there is still a shortfall as we require 1,250Mw of power for customers within our network. Since the takeover, we have, among other strategic initiatives, continued to upgrade our network for seamless and equitable distribution of the power that we get. We have also localised cases where we have witnessed issues with transformers and feeders. We are responding to these issues whilst implementing a holistic overhaul programme that would reposition Ikeja Electric for optimal performance at all times and across our network. We have made significant progress in this regard and remained committed to working with all stakeholders to ensure that our esteemed customers are serviced excellently, efficiently and sustainably.

    When the new management took over, promises were made to replace bad transformers and upgrade assets, how far have you gone in fulfilling the promises?

    We are replacing bad transformers and upgrading our assets. Between January and June this year, we have replaced 96 defective transformers and have carried out major repairs on feeders and other installations. The upgrade is a continuous process that will ultimately ensure stability and efficiency within the network. There is one aspect of asset that we consider as the most crucial. That is, our people. We have since the takeover continued to invest in our people through local and foreign training programmes designed for all categories of staff. We are confident to state that our people are among the leading professionals in the power sector and we have a seamless succession plan for the future through our Graduate Engineering Programme (GEP). We believe that all of our human capital investments will culminate in the best possible service for our customers.

    What is the update on your metering scheme?

    We have rolled out our Advanced Metering Infrastructure (AMI) scheme. We projected that we would, on a monthly basis, install 12,000 meters. As soon as our contractors mobilise more teams, we will be hitting 15,000 meter installation per month. After our 2,000 meter installation pilot scheme, we have installed another 8,500. We need less than 2,000 units to hit the target, and this will be achieved by the end of this month. We had earlier said we would install 10,000 meters in October. The programme is very much on course and we are confident that we will realise our target of deploying 300,000 smart meters to our customers.

    What caused the delay in your metering scheme?

    We wanted to install meters that are smart, reliable, secure and futuristic.  This is in line with our customer-centric approach of ensuring service excellence in all our operations. Prior to the ongoing deployment, we had to embark on a thorough review of the project to ensure that the solution we adopt is one that will resonate with global best practice. We went through a lot of painstaking attention to details and stakeholder engagements to arrive at the meters we are currently installing. These smart meters that will be installed at residential and business locations can be monitored remotely from our office. A customer can also monitor how he/she progresses on a daily basis using the meter. For instance, if a customer intends to spend just N10,000 on a monthly basis, that could be achieved. What we have now is secure, tamper-proof and puts the power of conservation and management of usage in the hands of our customers.

    Have you put any programme in place to meter customers on your network?

    We have drawn our timetable on how we will cover our customers. In the first instance, we will meter 300,000 customers. But there is no way we can bring in the 300,000 meters for installation in one month. There are some we will install now, and it will continue until December 2016. The holistic timetable for the installation will be strictly adhered to as it was informed by parameters that are vital to the overall success of the project. In addition to the AMI project, our Board has just approved the implementation of Credited Advance Payment for Metering Implementation (CAPMI) scheme to boost the process of metering. The fact still remains that the meters are free–whether through CAPMI or the AMI scheme. If customers pay for meter under CAPMI, Ikeja Electric will refund such monies over time. The procedure, through which our customers can leverage our CAPMI scheme, will be made public soon. The meters will help us effectively monitor and manage customer consumption as well as minimise losses. Secondly, our Customer Enumeration, Technical Audit and Asset Mapping (CETAAM) initiative is targeted at making every consumer of power within our network, our customer indeed. This initiative has kicked-off fully and we are going from house to house. The plan is to ensure that customers are adequately captured on our database. This will ultimately lead to enhanced service delivery and more efficiency in billing. This aspect of the initiative is the technical audit. All the power assets from transformer, cables, poles, and so on, used for our operations will be captured using our technology. In the long-run, immediately we identify a customer, we can map the customer to a transformer; map the transformer to a feeder; among others. The data is needed to manage the system effectively. We expect that this project will be concluded in the next seven to 10 months. A combination of the metering scheme and the CETAAM initiative is certain to produce seamless service within the Ikeja Electric network. In fact, by-passing of our meters and other acts of sabotage will ultimately be checked. By the time we finish CETAAM, we will be able to identify all the weak technical points on our network and plan on how to do network expansion and maintenance. Of course, this will assist us to do good management and balancing.

    Electricity tariffs are expected to rise this year, according to NERC. What is Ikeja Electric’s position in this regard?

    Our 10-year tariff schedule went through the regulator’s process. The truth is that whatever is realised from the tariff is used to fund the entire value chain of the power industry – generation, transmission, NERC (Nigerian Electricity Regulatory Commission), and others. When we say tariff must be cost-reflective, we mean it must pay for everything along the value chain.  If the tariff is cost-reflective, the only thing that distribution companies keep is less than 20 per cent of the entire money made. NERC brought out a guideline, and part of the guideline is that we meet our customers and agree on pricing terms. We had to do public consultation with the Manufacturers Association of Nigeria (MAN) as well as other stakeholders and consumers. After that, we made our initial presentation to NERC. The regulator looked at it and referred us to the customers again to tell them what the new tariff would be after all cost parameters have been considered. We have made that input, and have submitted our tariff plan to NERC, waiting for its final approval. NERC had admitted that there is no way tariff review would be done without having a form of increase. The sector needs a tariff that will support the entire value chain of the power sector for efficiency and sustainability. We expect that the resultant cost-reflective tariff will help reposition the sector for improved service delivery. We would like to use this medium to appeal for the support and cooperation of our esteemed customers in this regard.

    What is your company doing to check the spate of vandalism of power equipment in your network?

    It is unfortunate that there are individuals out there whose activities have been detrimental to the progress of our projects in Ikeja Electric. In fact, there are certain consumers, who through illegal connections steal energy from the system. These people commonly referred to as “energy thieves” abound across the network and need to be checked through collaborative efforts that needs the support of well-meaning Ikeja Electric customers. The actions of these people led to disruptions within the system and also affected the process of effective billing. We appeal to our esteemed customers to help identify such people to ensure sanity and efficiency in the system. In our efforts to check this problem, we have been carrying along communities at various levels through continuing engagements. We have established collaborative initiatives with virtually all the security agencies and in fact, we have a working relationship with the Nigerian Security and Civil Defence Corps.

    Before, we could have as high as five cases of vandalism in a month; but now, following our collaborative initiatives, the cases have been drastically reduced. The process of identifying and prosecuting the energy thieves is one that requires the support of all customers within the network. Currently, over 10 people have been arrested for illegal connections and they will be prosecuted. There are still many more out there that need to be stopped. We urge customers to report any case of illegal connections to the nearest Ikeja Electric office. Let me also stress that customers should also report cases of extortion in any guise from people purporting to be our staff or members of staff. In Ikeja Electric we have zero tolerance for any form of unprofessional act by our staff. We are building a team of people, who are ethical and professional. That is the new Ikeja Electric, new spirit, new drive and new energy.

  • Shoprite: Customers bemoan balance headache

    Shoprite: Customers bemoan balance headache

    Owing to the insignificant amount of the ‘change’ at stake and hiding under the guise of chronic unavailability of coins, cashiers at popular shopping outlet, Shoprite attendants seem to have made it a habit to hold customers’ balance during transactions. Tonia Odiyan, who has been monitoring this trend, catalogues some customers’ lamentation and reports.

    Odiase Obehi is a regular shopper at Shoprite Stores in Lagos, the famed African retail giant supermarket, which birthed in Nigeria about a decade ago. Up until recently, she, like her colleagues, who work in Alausa area of Lagos, did almost all her daily shopping at the Ikeja City Mall Shoprite and thought the store had the best grocery service.

    Not too long ago however, Obehi discovered a trend in her transactions with the supermarket which in her words bothers on ‘short-changing customers.’  She took a conscious decision to pay attention to details on one of her numerous purchase receipts, in which she paid N1, 107.14 for a lunch pack of jollof rice and chicken. To her surprise, the price was rounded up to N1, 110, with no explanation whatsoever – something she considered really unethical. It also ignited her curiosity and a personal quest to unravel why the store indulges in such act.

    In a related case, star actress, Bimbo Akintola and her sister were reportedly involved in a fight with an attendant at The Palms Shoprite, Lekki, Lagos, earlier in the year over a N300 change that the attendant apparently did not want to release. Said Bimbo: “It did not happen to me really, but my sister. The attendant kept our change for over two hours but my sister insisted and demanded for the change.”

    But is it safe to consider this a common scenario with the supermarket outlets? Couldn’t these have been one-off cases, or in Obehi’s case, a case of human error, or an option adopted as a way out of the change quagmire the country has found itself? Against this background, The Nation took time out to find out how many more customers are experiencing this trend, if they consider it dubious; and if the management is in the know, or if indeed it is a habit perpetrated solely by the staff for personal enrichment.

    Interestingly, most of the shoppers spoken to at malls where this store (Shoprite) is located in Lagos, shared similar experiences as above. But for many of them, it has always been a case of ‘how much is the change anyway?’ As one of the respondents pointed out however, one can only imagine how big an ‘ocean’ the little ‘drops’ would amount to for the beneficiaries at the end of each day’s sale.

    Mrs Adesola Sunday used to care less about being short-changed whether by Shoprite or any store at that. “I have never taken keen interest in knowing if I have being short-changed or not because I just enjoy shopping, but last week, it dawned on me that I would have been able to make huge purchases with all the money that Shoprite stores have stolen from me so far.”

    Another customer, Mrs Alade says what Shoprite is doing, short-changing customers is wrong. “I think the store should put their pricing appropriately because if they tell me I am getting an item for N599, it means they are selling at a cheaper rate compared to the store selling at N600 elsewhere. Why then am I not getting the N1 I am entitled to, having bought the item from them?”

    She added that it is her decision to choose if she wants the N1 or not, and not that of the store.

    Mrs. Isah Latifah feels the same way. She said “They should stop deceiving and short-changing us because they are already selling to us at the same price as the normal market. If they want to keep our N4, then they should stop advertising an item they intend to sell at N155 as N151.”

    Another regular customer at Shoprite, Femi Afolabi said he noticed that after buying from the store, the amount on the receipts do not always correlate with the amount he paid for the items. “I did not notice at first, but when the news of how Shoprite shortchanges customers started going around, I started paying attention to my receipts and taking a closer look at the computer when an attendant is punching those buttons to register items bought. Lo and behold, I realised that I pay higher than what I am supposed to pay. For instance, last Saturday, I bought items worth N3, 786.08, I gave the attendant N4, 000 and the receipt stated that she gave me 213.92 or N214.00 as change, but she ended up giving me N210.00. When I asked for the remaining, she said she didn’t have coins to give to me. It was then it dawned on me how much I must have been shortchanged in the past. I have however resorted to paying with my ATM cards; that way, I do not have to lose anything to them for patronising them.” He said.

    Curiously, some shoppers, like Olatunde Olaolu however do not see it as a rip-off, submitting that it is really inevitable. Said Olaolu: “The amount of change that usually remains is minimal, so I feel the short-change is negligible.”

    Another shopper who chose to be anonymous toed the same line: “I feel it is inevitable, so I have no problem with it.”

    Who’s to blame?

    Speaking on who to blame for this unholy habit, a shopper,  Alade Moshood, puts it on the economy, “The fact that we do not use coins anymore automatically means that every price will have to be rounded up to the nearest round figure.”

    Some bankers who reacted to the situation however said coins are still very much in circulation and should be used. According to them, it is Shoprite that has refused to use coins.

    Speaking to The Nation, Adetoye, who works with a bank at Mile 12, noted that coins are still legal tenders, but unfortunately lack acceptance by the populace. “Coins are available in banks but no Nigerian will accept to be paid in coins at any moment of their transaction.”

    While emphasising that this, to an extent has a lot to do with inflation, he said petty items like sweets and biscuits that could ordinarily sell for kobos are now selling to the nearest naira. Afraid that there may not be any hope of correcting this anomaly in sight, Adetoye said: “The chance is very slim considering the weight of the coins and our attitude to lower denominations. So far, I do not suspect any sabotage whatsoever from the chain of coins distribution, but I think good legislation and proper enforcement may change the trend.”

    Abati, a Resident Internal Control Officer with a bank in Agege said the coins are too heavy and users find it highly inconvenient to keep or move around with. She also said it is not a deliberate policy of the Central Bank of Nigeria not to circulate them.

    On how this can be corrected, Abati said “The chances are very slim. One of the main characteristics of money is its general acceptability; coins are however not generally accepted in Nigeria, mainly because of its weight, and people’s inability to identify genuine ones.”

    From another bank in Alimosho area of Lagos, Olatoye Adepoju, also a Resident Internal Control Officer said the disappearance of coins in circulation could be a result of its non-acceptance by the citizenry, devaluation of the currency and its seeming lack of financial power, as well as lack of legislation to enforce its use.

    Stating that it is not a deliberate policy of the Central Bank of Nigeria, Adepoju said coins have lost value, and cannot immediately buy anything, but legislation can correct all that and make them relevant for transactionary motives once again. “There is no sabotage from the chain of coins distribution, but it might be a way of the Central Bank of Nigeria (CBN) pushing out the bulk of produced coins in their custody to commercial banks.”

    From a bank in Surulere, Lagos, Okechukwu Nwangwu, a Resident Internal Control Officer told The Nation that there has been no enforcement from the government and the CBN. He however said it is likely to be a deliberate policy from the Central Bank, arguing that the situation has nothing to do with inflation. Nwangwu said: “As long as the enforcement is there, whether inflation or deflation, the general acceptability as legal tender will be there. But there is hope to correct this anomaly if our government wake up from her slumber and strengthen our fiscal and economic policies.”

    He added that he does not think there is any kind of sabotage from the chain of coins distribution, but that the non-usage could be linked to non-enforcement. “Our government should implement and enforce the usage and acceptability of the coins as a legal tender whether there is inflation or not. I also feel that this will assist in curbing inflation.”

    Nancy Akpabio, Senior Manager Branch Operations Group at a bank in Isolo area of Lagos said the disappearance of coins in circulation may be because it has little or no value in the Nigerian economy today. She however does not think it is a deliberate policy of the Central Bank.

    Her words: “Lack of circulation of coins does not have anything to do with inflation and I cannot say for sure if there is hope to correct this anomaly. The general belief points to the fact that there is sabotage from the chain of coins distribution.”

    Another banker in Agege area of Lagos told The Nation that there may be hope to correct the anomaly, though the chances are very slim. He said one of the main characteristics of money is its general acceptability, which seems to have been defeated in the case of the Nigerian coins. He also said this is as a result of its weight, and people’s inability to identify genuine coins.

    Mrs. Amarachi Paul, a bank customer is of the view that the present situation is not proper at all. “If you look at it, N1:00, N2:00; no matter the amount; traders always feel they should round it up to a round figure. But why don’t they right that problem? As it is, the only people the situation favours are those paying through ATM/POS.”

    Brickwall

    Repeated visits by this reporter to Shoprite outlets to seek management reaction to the issue however met a brickwall, as none of the management staff was willing to speak. However a staff of the company at the Lekki office, who gave his name as Mr Kunle, said members of staff are forbidden to speak to the press on any issue concerning the operation of the outfit. He said if any customer has anything to say concerning the operation of the outfit or complaint; it should be channeled through appropriate quarters.

  • Metro MFB fetes customers

    Metro MFB fetes customers

    Committed to encouraging customers to continue doing business with it, the Metro Micro-finance Bank located at Ogba in Lagos State, recently rewarded four of its numerous customers who emerged winners during the 2015 raffle draw promo.

    The four lucky winners were Abiodun Testimony, (1st position), Awoseni Helen, (2nd position), Mr. Obodozie, (3rd position) and Ajose Bunmi (4th position).

    As the overall winner, Testimony won a chest freezer. She expressed her appreciation to the organisers of the promo.

    According to the Human Resource/Legal Administration Manager, Mrs Adeola Ferdinard-Olufemi, the promo aimed at encouraging our customers to cultivate good saving habit towards a particular project or expenses. Based on this, they can win bountiful prizes by partaking in the savings promo.

    “Our values are hinged on friendliness, professionalism, equality, ethics, integrity and excellent customer service as we recognise that different customers have different needs. For this reason, we provide various commercial and personal financial products to help our customers develop and grow their businesses, to meet their financial needs and save for a better tomorrow,” she said.

    Explaining the challenges of the bank since its establishment, she said: “The fact that there are a number of defunct micro-finance banks in Nigeria at present has done a lot of disservice to the image of micro-finance banks. This has fuelled lack of public confidence which people have in micro-finance banks. And we majorly get funds to run the business through shareholders’ funds and depositors’ funds.

    ”The major problem about customers who have obtained a facility from the bank is the lack of willingness to repay, coupled with diversion of funds. To avoid this situation, we usually obtain proper documentations from the customers and also do thorough KYC on them to ensure that we have adequate information on them to do proper follow up in case of default.

    “Also, our customers have realised that we assist them in improving their businesses; hence there is no reason why they wouldn’t repay.

    “The bank, which was incorporated in 2009, was established in order to offer financial services to micro, small and medium-sized enterprises and other clients in the lower income strata. We are also committed to help entrepreneurs improve their businesses by availing them easy access to loans.

  • BVN: Customers close account

    BVN: Customers close account

    As the October 31st deadline for the enrolment for the Bank Verification Number (BVN) ended yesterday, many banks across the federation were swarmed with customers on Friday to complete their BVN just as many closed down their accounts to avoid any backlash.

    When The Nation visited some banks within Lagos metropolis and its environs, customers’ turnout was massively high.

    In Festac town, Mushin, Ikeja, Yaba, Maryland, Ojota, Ketu, Mile 12, Ikorodu and its environs, most of the banks were overflowing with customers who were desperate to be captured.

    At Zenith Bank premises in Matori, Mushin area of Lagos, bank officials sweat it out to enrol customers for the BVN, as most of the customers formed long queues.

    The Central Bank of Nigeria (CBN) had extended the deadline for the BVN exercise to October 31 after banks were inundated by last minute customers to beat the earlier deadline back in July.

    The Nation was reliably informed that the bank had anticipated the rush and had made provision with about three staff members handling the exercise of registering such customers outside while other banking activities went on inside.

    Adeolu Olugbemi, a customer in one of the new generation banks told The Nation that due to his busy schedules he couldn’t complete the BVN exercise hence he was forced to close down his bank account.

    He said, “several times I came to my bank with the intention of doing my BVN but each time I came the whole place was overflowing with crowd and since I couldn’t withstand the drudgery of standing on the queues for hours I had to close my account today (Friday). I can’t afford to face CBN penalty.”

    Another customer who simply gave his name as Stanley told our correspondent he also couldn’t complete the BVN. “I was at the bank yesterday (Friday), when I got there, they ask us to pick numbers and I was 120 on the queue. After waiting for over one hour it still didn’t get to my turn so I had to close my account with the bank as suggested to me by one of the bank officials,” he said.

    An official of Diamond bank in Wuse who also preferred not to be mentioned said although there was an upsurge of customers rushing to beat the deadline for the registration it was nothing compared to the previous deadline. She said the bank had made provisions and would ensure that they attended to all the customers at the bank for the registration.

    At GT Bank Area 3 Garki, over 20 customers were seen waiting to either register or submit their BVN to the bank. One of the bank’s customers, Miss Onyeche Audu said, “I am just entering the bank and I am sure I will leave here soon because the bank is really managing the crowd.”

    However, there were very few customers trying to carry out the BVN registration at Eco, Zenith, Fidelity, Stanbic IBTC and Unity banks.

    Speaking with a cross-section of the officials of these banks, they confided in The Nation that they were optimistic that “after the registration, the CBN would get the cards ready after which the banks would distribute them to their customers.”

    Meanwhile, a few hours to the close of banking business on Friday, the CBN issued a statement warning unsuspecting customers of the activities of those it described as “certain unscrupulous individuals sending unsolicited mails and text messages to unsuspecting bank customers, alerting them to the deactivation or suspension of their bank accounts due to uncompleted Bank Verification Number (BVN) registration process.”

    The apex bank warned individuals and the general public that such “messages are intended to lure bank account holders to reveal their personal details with which the fraudsters could use to defraud them.”

    The CBN and deposit money banks nor their employees or agents the statement said “would mever call bank customers or send e-mail/text messages requesting for passwords, card details or personal identification number (PIN).”

     

     

     

  • BVN for BDC customers

    BVN for BDC customers

    With the forex restriction policy settling down, the CBN has disclosed that from November 1, prospective buyers of foreign currencies must show their Bank Verification Numbers (BVN) to banks and BDC to get approval for their transactions.

    The BVN gives each bank customer a unique identity across the banking industry and protect the customer’s account from fraudsters.

    Its Director, Financial Policy and Regulation, Kevin Amogu, said the development would allow the CBN to plug leakage of forex out of the country.

    “With effect from November 1, 2015, the BVN of all customers desiring to purchase forex through all available channels in Nigeria must be validated by the CBN authorised forex dealer through the Nigerian Interbank Settlement System (NIBSS) platform before the transactions are consummated,” he said.

    Gwadabe said the BDC segment of the market has been in disarray over the directive.

    He said the NIBSS portal required by the BDCs to implement the BVN directive was not available, but wondered why the CBN insisted that the portal must be used.

    The NIBSS provides the infrastructure for automated processing, settlement of payments and fund transfer instructions between banks, discount houses and card companies in the country.

    But Mu’azu defended the policy, saying the request that BDC customers provide their BVN will control illicit financial flows.

    “The BDCs are licenced to operate within the law. There is nothing wrong with the operators demanding from their customers their identity and where the purchase of forex is for school fees, they need to provide invoices from the foreign schools,” he said.

    He said funds from BDCs should not be used to fund imports but to address immediate travel needs. Importers, he said, should open Letters of Credit (LCs) for Form ’M’ or Form ‘A’ for goods and services imports respectively.

    A commercial LC is a contractual agreement between the issuing bank, on behalf of one of its customers, authorising another bank to make payment to the beneficiary.

    The CBN director said the BDCs should not be the ones to complain, but their customers.

    Besides, the apex bank has strengthened its card payment rule, ordering that naira-denominated corporate cards should not be allowed for cross-border payments.

    Its Director, Banking and Payment System, ‘Dipo Fatokun threatened to sanction banks that violate its $50, 000 annual spending limit on ATM withdrawals overseas with naira-denominated cards.

    Findings showed that some banks are already cutting down on the $50, 000 limit 50 per cent, an indication that regulatory monitoring is low.

    Fatokun, however, advised all authorised card issuers, especially Deposit Money Banks (DMBs) to note and implement the policy or risk being sanctioned. He said the daily limit of $300 or its equivalent must also be implemented.

    The CBN has stopped BDCs from funding import transactions in any form, either by cash or wire transfer.

    It has also limited BDC’s dollar sales to individual to a maximum of $5000.00 which must be for the Business Travel/Personal Travel Allowance.

    The regulator also promises to investigate travellers, breaching the rule on $10, 000 maximum cash or negotiable instruments across the borders.

    It said the transportation of cash or negotiable instruments in excess of $10, 000 or its equivalent by individuals in or out of the country shall not be allowed, unless such funds are declared at the borders.

    The bank expressed concerns on the increasing trafficking of huge sums of foreign currency across the borders in defiance of the extant dictates of Section 2 (Sub-Section 3 to 5) of the Money Laundering (Prohibition) Act 2011 (as amended).

  • Agency, bank educates customers

    Amoye Microfinance Bank Limited, in collaboration with Partnership for Economic Policy, Canada (PEP) and Initiative for Evidence Based Development and Empowerment, Nigeria (IEBDEM) has educated staff and customers on the importance of microcredit for women empowerment. It also advised them on the inherent risk in loans disbursement.

    This topped the agenda at a workshop on poverty alleviation and women empowerment held at at Ikere Ekiti, Ekiti State at the weekend.

    Chairman of the bank, Mr. Feyi Ogoji, represented by the Managing Director, Mr. Akanle Lateef Oluwole, said the workshop was to sensitise the customers on the various products available in the bank to drive SME through funding with microcredit and microfinance.