What type of Deposits are Insured by the NDIC?

Not all deposits in insured institutions are covered by the NDIC. All deposits of a licenced bank or any other insured deposit-taking financial institution shall be insured with the NDIC with the exception of the following:

i.Inter-bank takings;

ii.Insider deposits (i.e. deposits of staff, including directors of the insured institutions); and

iii.Deposits held as collateral for loans.

Related Articles
How are Depositors of failed Insured Institutions informed about the Commencement of Payment of Insured Deposits by the NDIC?
Announcements would be made through the media (television, radio, newspapers) and NDIC posters at the Head Offices and branches of the closed banks as to when the payment of deposits would commence.
Whose Deposits do the NDIC Insure?
The NDIC insures bank deposits of natural persons as well as legal entities, whether they are from Nigeria or from any other country but resident in Nigeria.
Is NDIC granting any financial assistance to my bank during crisis?
Yes. The NDIC Act 2023 empowers the Corporation under sections 49 - 50 to provide financial and technical assistance to eligible insured financial institutions in the interest of depositors, in case of imminent or actual financial difficulties ...
If a Depositor has more than the Maximum Insured Amount as Deposit in a Closed Bank, Is He Entitled to any further Claim for the amount of His Deposits in Excess of the Maximum Insured Amount paid by the NDIC?
Yes. In a situation where the amount of depositors’ fund in a closed bank exceeds the maximum insured amount, the owners of such accounts will share, on a pro-rata basis, in any proceeds from the liquidation of the bank’s assets with other general ...
Does the NDIC finance its Operations from the Insurance Fund?
No. NDIC finances all its overhead and administrative expenses from its investment income. The main source of income for the NDIC is the proceeds from investment of the insurance fund in securities issued by the Federal Government. The insurance fund ...

What type of Deposits are Insured by the NDIC?

What type of Deposits are Insured by the NDIC?

Related Articles

How are Depositors of failed Insured Institutions informed about the Commencement of Payment of Insured Deposits by the NDIC?

Whose Deposits do the NDIC Insure?

Is NDIC granting any financial assistance to my bank during crisis?

If a Depositor has more than the Maximum Insured Amount as Deposit in a Closed Bank, Is He Entitled to any further Claim for the amount of His Deposits in Excess of the Maximum Insured Amount paid by the NDIC?

Does the NDIC finance its Operations from the Insurance Fund?