CARD FRAUD,CBN GIVES DEADLINE TO BANKS

    

 In order to fight the electronic card-related frauds, the Central Bank of Nigeria has given banks until November, 30 2014 to adhere to the Payment Card Industry Data Security Standards.

The CBN also authorized switches and processors companies to become PCIDSS-certified on or before the date.

Banks and companies which fail to adhere to the directive will face severe sanctions, according to the central bank.

The latest deadline follows the results of the pre-certification assessment carried out by three qualified system assessors appointed by the CBN.

A circular on the issue by the Director, Banking and Payment System Department, Mr. DipoFatokun, read, “Consequent upon our circular on the need to combat card fraud, referenced BPS/DIR/GEN/CIR/01/08, dated May 25, 2012, mandating all banks to comply with the Payment Card Industry Data Security Standards before 31 December, 2012, many banks requested for an extension of the deadline to enable them complete the certification process.

“In order to determine the readiness of the various operators, the Central Bank of Nigeria engaged the services of three qualified security assessors to conduct pre-certification assessment of the banks.

According to the circular, the result of the pre-certification assessment revealed that while many banks and processors have complied with the standard, some are in various stages of compliance.

“In view of the above, all Deposit Money Banks, switches and processors are required to be PCIDSS certified, on or before November 30, 2014,” it said.

The CBN cautioned that it would invoke appropriate sanctions for noncompliance with the provisions of the circular.