Heritage Bank’s licence revoked — what happens to depositors, shareholders.

[Justinapeter]

On June 3, the Central Bank of Nigeria (CBN) revoked the banking licence of Heritage Bank Plc, raising curious questions about how depositors and shareholders would fare in terms of getting back their funds.

The CBN had explained that its decision on the licence revocation was made due to the bank’s inability to improve its financial performance.

The regulator said Heritage Bank, which was nationally licensed, has not improved and “has no reasonable prospects of recovery”, thereby making revoking the licence the next necessary step.

According to the CBN, the Nigeria Deposit Insurance Corporation (NDIC) has been appointed as the liquidator of the bank in line with Section 12 (3) of the Banks and Other Financial Act (BOFIA) of 2020.

A liquidator is an organisation with the legal authority to act on behalf of a company to sell the company’s assets before the said firm closes, in a bid to raise capital for various purposes such as debt repayment.

Following the licence revocation, the NDIC said it would pay a maximum of N5 million insured deposits to each customer of Heritage Bank.

However, the corporation said depositors with funds more than “the insured deposits will be paid as and when the assets of the closed bank are realised”.

This are one of the reasons I choose to put my money in Bitcoin as a form of investment, those that has 20 million and even more can only receive 5 million why waiting for the remaining that may come at anytime or may not even come.

Source.

https://www.thecable.ng/explainer-heritage-banks-licence-revoked-what-happens-to-depositors-shareholders/amp/

[Majestic-milf]

 This nah painful mata, make I no lie. According to wetin you talk, bank and NDIC go pay depositors a max of #5m, and imagine those wey get pass that amount like you talk, how them go do am? What percentage them wan give them and those wey no get up to that amount for the bank, abi them go do am 70- 30?
 This no be the first time this heritage bank they get this issue because in 2006, CBN close the bank, back then when them bin dey under the name of Societe Generale unto say them no fit meet up with new capital requirements of #25 billion and now them don revoke their license due to inability to meet up with financial requirements.
 The thing wey dey tire me with some of these financial institutions be say them know say them no go fit carry out their obligations well but go still dey in operation, then when mata don choke, them go come shut down, denying users access to their funds.

[Justinapeter]

This nah painful mata, make I no lie. According to wetin you talk, bank and NDIC go pay depositors a max of #5m, and imagine those wey get pass that amount like you talk, how them go do am? What percentage them wan give them and those wey no get up to that amount for the bank, abi them go do am 70- 30?
 This no be the first time this heritage bank they get this issue because in 2006, CBN close the bank, back then when them bin dey under the name of Societe Generale unto say them no fit meet up with new capital requirements of #25 billion and now them don revoke their license due to inability to meet up with financial requirements.
 The thing wey dey tire me with some of these financial institutions be say them know say them no go fit carry out their obligations well but go still dey in operation, then when mata don choke, them go come shut down, denying users access to their funds.

Na why to save money for bank they fear me just imagine am say person life savings dey for that bank now how the person won do am were en won start from no be to put the person for depression, News self come out say one man way en life savings they for the bank when en hear this thing en get heart attack but thank God say en no die because they rush am go hospital immediately.

For me oo I no fit put my life savings for bank I like as I dey invest on Bitcoin like this is also a medium to save and get profit as time goes on.
To be honest I dey really feel for those people way keep there life savings for that bank this is very bad Make CBN stop to allow any how bank to operate for this country again.

[Zackz5000]

This nah painful mata, make I no lie. According to wetin you talk, bank and NDIC go pay depositors a max of #5m, and imagine those wey get pass that amount like you talk, how them go do am? What percentage them wan give them and those wey no get up to that amount for the bank, abi them go do am 70- 30?
 This no be the first time this heritage bank they get this issue because in 2006, CBN close the bank, back then when them bin dey under the name of Societe Generale unto say them no fit meet up with new capital requirements of #25 billion and now them don revoke their license due to inability to meet up with financial requirements.
 The thing wey dey tire me with some of these financial institutions be say them know say them no go fit carry out their obligations well but go still dey in operation, then when mata don choke, them go come shut down, denying users access to their funds.

Na why to save money for bank they fear me just imagine am say person life savings dey for that bank now how the person won do am were en won start from no be to put the person for depression, News self come out say one man way en life savings they for the bank when en hear this thing en get heart attack but thank God say en no die because they rush am go hospital immediately.

For me oo I no fit put my life savings for bank I like as I dey invest on Bitcoin like this is also a medium to save and get profit as time goes on.
To be honest I dey really feel for those people way keep there life savings for that bank this is very bad Make CBN stop to allow any how bank to operate for this country again.

Saving money in the bank no suppose fear you because your money will be save when you bank with the right bank. Technology has made the use of bank useful to the users for it will make you not to be carrying Money up and down also keeping it at your home won't be save as well.

Sometimes I blame people for what misfortune that befalls on them for me there are banks I can't bank with those bank that are very difficult to locate and they are not many in a particular state this Heritage bank is one of it very difficult to locate there branches. As a POS operator that I am there is no time I will cheek Heritage bank network that it will have network there network status is always showing red which mean no network, even before now I knew they will shut down. I feel for those that has their money in that bank too CBN President should do something about it and make sure everyone has their money pay back in full.