OPay to block accounts that don’t adhere to KYC regulations First of March
Financial technology company OPay, based in Nigeria, said that it will eliminate fake accounts from its system starting on March 1, 2024.
The mobile money company announced on Wednesday at a press conference that non-KYC-compliant clients’ accounts will also be blocked.
Banks use a procedure called KYC (know your customer) to get details about the identity and address of their clients.
This procedure aids in preventing improper usage of bank services.
According to Opay, the move was made to bolster platform security to safeguard consumer deposits from dishonest users.
The change was made a month after a report found flaws in the business’s new customer registration and verification procedure.
Director of cards business Olayemi Precilia addressed the concerns, stating that the platform has improved security measures and that new users would now need to provide their national identity number (NIN) to register an account.
Your app will request your NIN if you have a tier one account and you don’t have it when you log in. If you do not enter that NIN, you cannot proceed. Thus, that is among the actions we have already taken,” she remarked.
“The second point is that you will first use the NIN if you are a new customer. That’s what we’re doing right now. We are now downloading data into your wallet from your NIN. That will launch the next month.
We also have a deadline of March 1st by which non-compliant users will be blocked.
Opay’s director of partnerships, Ikponmwosa Kolawole Odiase, stated that “fraudulent accounts will be yanked off” the company’s system.
Regarding the issue of the application’s inadequate face verification, he stated that the company plans to implement a system that will allow for a backend verification of clients’ faces using BVNs and NINs.
All pertinent parties are working together, including the regulators and KYC agencies. He said that all of this was done to stop fraud.
“The scammers won’t stop, and we are also starting to realize how difficult it is.” Regretfully, it is a problem facing the industry.
“So many false accounts will undoubtedly disappear.”