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Service Disruption: FCCPC warns banks against customers’ right violation over
 
By: Abara Blessing Oluchi
Tue, 29 Oct 2024   ||   Nigeria,
 

The Federal Competition and Consumer Protection Commission (FCCPC) has warned financial institutions against continuing disruption in online banking services across Nigeria.
A statement by the commission’s Executive Vice Chairman/ Chief Executive Officer, Tunji Bello on Tuesday, said it was deeply concerned by the disruption which has hindered customers from accessing their funds, making payments, and carrying out essential transactions.
“The disruptions have negatively impacted millions and have serious implications for individuals and businesses alike,” the statement said in part.
According to the commission, service providers are required by the Federal Competition and Consumer Protection Act (FCCPA) to be transparent and communicate with customers openly and accurately.
The FCCPA Act 2018 is the main statute governing consumer protection and competition regulation in Nigeria.
“Under the Federal Competition and Consumer Protection Act (FCCPA) 2018, bank customers have specific rights to guarantee fair and accountable service delivery. A key provision is the right to quality service, which mandates that all service providers, including banks, maintain acceptable levels of functionality and reliability.
“When banks cannot maintain access to essential financial services, they are arguably failing to meet this standard, potentially leading to significant financial hardship, loss of trust in the banking system, and damage to the overall economy.
“The FCCPA further grants consumers the right to reasonable access to goods and services—a principle that is compromised when technical failures impede customers’ access to their own funds. At a time when Nigeria’s economy is increasingly cashless, online banking is no longer a mere convenience but a necessity. Interruptions that impede consumers from engaging in transactions or accessing essential funds are not only an inconvenience, but they may also be a violation of this right,” the statement added.
It said during service disruption, it is essential that banks keep their customers fully informed about the causes, scope, and anticipated duration of any service issues.
“Regrettably, many consumers are left in the dark, a situation that increases frustration and leaves customers feeling unsupported.
“The FCCPA allows consumers to seek redress for services that do not meet the necessary standards. As such, bank customers can seek redress, if they are adversely affected by substandard services.
“The FCCPC is currently reviewing the situation to determine if consumers’ rights to redress are being upheld and if more action is needed to enforce accountability,” it said, adding that it is actively working with relevant regulatory authorities, financial institutions, and stakeholders to address these disruptions and ensure the protection of customers.
“The Commission will pursue all necessary actions to ensure the protections of the FCCPA are upheld.
“The Commission assures affected bank customers that their concerns are being taken seriously.
“We urge banks and financial institutions to take swift action to restore services, prioritise customer support, and enhance communication to manage customer expectations transparently and responsibly,” the statement added.

 

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