The National Pension Commission (PenCom) has issued a directive mandating the provision of Bank Verification Number (BVN) for all Retirement Savings Account (RSA) registrations and data recapture processing, effective February 1.
According to a circular signed by Head of the Surveillance Department, A.M. Saleem, the regulation, which comes into effect on February 1, was aimed at enhancing the security and integrity of the pension industry database.
The circular read: “The National Pension Commission (PenCom) hereby directs that all Pension Fund Administrators (PFAs) must require the mandatory provision of the Bank Verification Number (BVN) from individuals/RSA holders in processing their requests for RSA Registration or Data Recapture, as applicable.
“This directive aims to enhance the security and integrity of the pension industry database.”
According to the circular, all licensed Pension Fund Administrators (PFAs) are required to ensure strict compliance with the following:
- BVN validation: PFAs must validate that the BVN provided for RSA registrations and data recapture processes contains the correct 11 digits.
- RSA registration: All new RSA registrations must include the BVN of the individual. PFAs are further directed to indicate that the BVN field on RSA registration forms is mandatory for successful processing.
- Data recapture: Existing RSA holders must provide their BVN during the data recapture process. PFAs are required to update their forms to clearly indicate the mandatory BVN field.
- For individuals whose BVN details are not currently available on the Enhanced Contributor Registration System (ECRS), PenCom has assured that provisions will be made for PFAs to update these records prior to the implementation of the circular.
- This measure aims to ensure a smooth transition to the new requirements.
- The circular explicitly states that it supersedes certain provisions of the Revised Guideline on Retirement Savings Account Registration (2024), specifically Sections 2.2.1 (15) and 5.3.6 (16). This move highlights PenCom’s commitment to modernising its processes and bolstering security within the pension system.
- This initiative is part of PenCom’s broader effort to improve the security and integrity of the pension industry database. By mandating the inclusion of BVNs, the Commission aims to reduce the risks associated with identity fraud, streamline RSA management, and ensure better alignment with Nigeria’s financial system regulations.