Deposit Money Banks (DMBs) in Nigeria have embarked on the process of discontinuing the use of old standard cheques by December 31, 2023, to align with the evolving digital landscape and adhere to the Central Bank of Nigeria (CBN) regulations. This development follows the CBN’s recent issuance of a circular on the Nigerian cheque standard, which has prompted DMBs to take action and avoid potential sanctions.
The CBN has expressed its commitment to monitoring the level of compliance by DMBs and has set a stringent deadline, noting that it will impose sanctions on any bank experiencing Magnetic Ink Character Recognition (MICR) rejections by November 1, 2023.
Access Bank, one of Nigeria’s prominent financial institutions, has already begun notifying its customers about the forthcoming change. In a communication sent via email, Access Bank conveyed that old standard cheques would no longer be accepted and cleared starting from January 1, 2024. The email read, “Dear valued customer, effective 31st December 2023, we will be discontinuing the use of our old standard cheque in accordance with CBN directive on discontinuation of old cheques for transactions. For your convenience, our various channels and branches are available for our new cheque book request.”
Furthermore, Access Bank encouraged its customers to leverage alternative banking channels, such as internet banking platforms, debit cards, and point-of-sale (POS) machines, for various financial transactions, including transfers, payments, and purchases.
This industry-wide transition signifies the commitment of Nigerian banks to stay aligned with digital advancements, enhance operational efficiency, and maintain compliance with the CBN’s regulatory directives. The move is expected to streamline financial processes, improve security measures, and provide a more convenient and contemporary banking experience for customers across the nation.
