There is one banking truth in this country that will shock you. And the banks will never tell you this.
Because it is one of the biggest tools they use to debit people’s accounts without warning.
And Nigerians, out of fear and ignorance, think it is normal.
But this is not normal. It is illegal. And you can sue the bank or report them to CBN.
Let me explain it clearly.
You see that thing that someone will send you money and the bank will automatically deduct or take all of the money for loan repayment?
By law, no bank in Nigeria has the right to debit your account for any loan repayment unless you signed a written debit mandate.
Not “verbal agreement.”
Not “you applied on the app.”
Not “the loan officer said so.”
Not “you clicked accept.”
Not “we assumed you agreed.”
Even if you are owing Billions, there must be a clear, documented, signed mandate giving the bank permission to take money from your account before they can legally do so.
This is a Central Bank of Nigeria consumer-protection rule, and it protects Nigerians from unauthorized deductions, intimidation, and exploitation.
So why do banks get away with illegal debits?
Because most Nigerians don’t know the law. (I don’t know why no musician has produced “Show Me the Law Song” we need such a song because most Nigerans don’t know the law.)
Most people don’t know they even have this right.
Most don’t know debit mandates must be signed physically or digitally with proper documentation.
Most don’t know they can challenge the deduction.
Most don’t know they can demand the signed mandate.
Most don’t know the bank must refund if the mandate doesn’t exist.
So the banks take advantage of the ignorance.
They debit you from another account.
They take money from your salary account.
They clean out your savings.
They go into dormant accounts.
Some even enter joint accounts.
And when you complain, they intimidate you with technical language.
“System flagged your account.”
“Your BVN is linked.”
“It’s part of the loan terms.”
“It was in the app.”
But the law remains:
Without a signed, specific debit authorization, the bank has no legal right to touch your money.
None.
What you can do starting today:
-Ask your bank to show you the signed debit mandate on any loan you owe.
-If they cannot produce it, request an immediate refund.
-If the bank refuses, report them directly to CBN Consumer Protection: cpd@cbn.gov.ng
-Attach your bank statement and complaint.
-CBN usually forces the bank to refund the unauthorized deduction.
Banks fear CBN queries more than anything else.
Know your rights, but most importantly, pay your debts.
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