The Nigeria Deposit Insurance Corporation has announced that depositors of Aso Savings and Loans Plc and Union Homes Savings and Loans Plc will be paid their insured deposits of up to N2 m per depositor.
This was disclosed in a statement issued by the Corporation on Tuesday following the Central Bank of Nigeria’s revocation of the licences of the mortgage banks.
On Tuesday, the Central Bank of Nigeria announced the revocation of the operational licences of Aso Savings and Loans Plc and Union Homes Savings and Loans Plc as part of efforts to reposition the mortgage subsector and strengthen compliance with regulatory requirements.
The revocation was disclosed in a statement signed by the Acting Director of the Corporate Communications Department of the CBN, Hakama Sidi Ali.
According to the apex bank, the action was taken in exercise of the powers conferred on it under Section 12 of the Banks and Other Financial Institutions Act 2020 and Section 7.3 of the Revised Guidelines for Mortgage Banks in Nigeria.
The CBN stated that the affected institutions violated several provisions of BOFIA 2020 and the Revised Guidelines for Mortgage Banks.
These include failure to meet the minimum paid-up share capital requirement for the category of bank licence granted to them by the CBN; having insufficient assets to meet their liabilities; being critically undercapitalised with a capital adequacy ratio below the prudential minimum prescribed by the CBN; and failure to comply with several directives and obligations imposed upon them by the CBN.
Following the revocation of the licences, the Nigeria Deposit Insurance Corporation advised customers of the institutions on how to access their funds.
The NDIC said, “In line with Section 55, subsections 1 and 2 of the NDIC Act 2023, the Corporation has commenced the liquidation process for Aso Savings and Loans Plc and Union Homes Savings and Loans Plc. Accordingly, the verification and payment of insured deposits to depositors of the closed banks have begun as outlined below:
“Depositors will be paid their insured deposits up to the maximum amount of N2,000,000 (two million naira) per depositor, using the Bank Verification Number as a unique identifier to locate their alternate bank accounts, into which the insured sums will be automatically credited.
“Depositors with balances in excess of N2,000,000 will be paid the initial insured amount, while their outstanding balances will be settled as liquidation dividends upon the realisation of the banks’ assets and the recovery of debts owed by the failed banks.
“To this end, the Corporation will commence the sale of the banks’ assets and continue the recovery of outstanding loans in order to expedite the payment of uninsured sums.”
Following the licence revocation, depositors were advised to submit their claims online through the NDIC claims portal by completing the digital claims verification form and submitting the required information.
Depositors who prefer physical verification were advised to visit the nearest branch of the closed banks between Tuesday, 16 December 2025, and Thursday, 30 December 2025, where NDIC officials will be available. For verification and payment of insured deposits, depositors are required to present proof of account ownership, a verifiable means of identification, such as a driver’s licence, permanent voter’s card, or national identity card, and details of an alternate bank account along with their Bank Verification Number.
Creditors of the closed banks were advised to submit their claims online or visit the nearest branch of the banks within the same verification period. Payment of liquidation dividends to creditors will commence after all depositors have been fully paid, in accordance with the law.
The NDIC added that payments to staff of the defunct banks will be made after the full settlement of depositors from the proceeds of asset sales, while shareholders will be paid subsequently from further realisation of assets and recovery of outstanding debts.
Debtors of the closed banks were advised to visit the Corporation’s Asset Management Department to settle outstanding loan obligations.
