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From Adanna Nnamani, Abuja
The Nigeria Deposit Insurance Corporation (NDIC) has commenced the liquidation of Aso Savings and Loans Plc and Union Homes Savings and Loans Plc following the revocation of their operating licences by the Central Bank of Nigeria (CBN).
In a public notice on Tuesday, the NDIC said it was appointed liquidator of the two mortgage banks after the CBN withdrew their licences on December 15, 2025, in line with the provisions of the Banks and Other Financial Institutions Act (BOFIA) 2020.
The Corporation said verification and payment of insured deposits to customers of the defunct banks had already begun, with each depositor entitled to receive up to a maximum insured sum of N2 million.
According to the NDIC, payments will be made using depositors’ Bank Verification Numbers (BVN) to trace their alternate bank accounts, into which the insured amounts will be credited automatically.
Depositors with balances above N2 million will receive the insured portion first, while the remaining balances will be settled later as liquidation dividends, subject to the recovery of loans and sale of the banks’ assets.
To fast-track the process, the NDIC said it would immediately begin the disposal of assets belonging to the failed institutions and intensify recovery of outstanding debts.
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The Corporation advised depositors to submit their claims either online through its claims verification portal or physically at the nearest branches of the closed banks between December 16 and December 30, 2025, where NDIC officials will be on ground.
For verification, depositors are required to present proof of account ownership, a valid means of identification and details of their alternate bank account, including BVN.
The NDIC also urged customers to activate transaction alerts on their alternate accounts to enable them receive payment notifications.
Creditors of the defunct banks were similarly advised to submit their claims within the same period, noting that payment of liquidation dividends to creditors would commence only after all depositors have been fully paid.
It added that payments to staff of the failed banks and subsequently to shareholders would be made from proceeds realised from asset sales, in line with the order of priority stipulated by law.
Debtors of Aso Savings and Loans Plc and Union Homes Savings and Loans Plc were also directed to settle their outstanding obligations with the NDIC’s Asset Management Department.
“The NDIC wishes to assure the entire banking public of its commitment to the continued safety of depositors’ funds in all licensed banks. As such, depositors are encouraged to continue their banking businesses without fear as banks whose licenses have not been revoked remain safe and sound,” the notice added.
