NDIC Begins Liquidation of Aso Savings, Union Homes; Depositors to Receive Up to ₦2m
The Nigeria Deposit Insurance Corporation (NDIC) has formally commenced the liquidation of Aso Savings and Loans Plc and Union Homes Savings and Loans Plc, following the revocation of their operating licences by the Central Bank of Nigeria (CBN).
The action, which took effect on December 15, 2025, was carried out in line with the provisions of the Banks and Other Financial Institutions Act (BOFIA) 2020, under which the NDIC was appointed liquidator of the two failed mortgage banks.
In a notice to depositors and the general public, the Corporation said verification and payment of insured deposits had already begun, assuring customers that eligible funds would be paid promptly.
According to the NDIC, depositors will receive insured deposits of up to ₦2 million per depositor, in line with statutory coverage limits. Payments will be made automatically using customers’ Bank Verification Numbers (BVN) to trace alternate bank accounts, into which the insured sums will be credited.
Depositors with balances exceeding ₦2 million will receive the insured portion immediately, while the outstanding balances will be settled later as liquidation dividends, subject to the realisation of the banks’ assets and recovery of outstanding loans.
To speed up the process, the NDIC disclosed that it has commenced asset sales and intensified loan recovery efforts.
The Corporation has provided both online and physical verification options for depositors.
For online verification, depositors are required to submit their claims through the NDIC’s official claims portal by completing a digital form with all relevant account details.
Alternatively, depositors may visit the nearest branch of the closed banks between December 16 and December 30, 2025, where NDIC officials will be available to conduct physical verification.
For verification and payment, depositors are required to present proof of account ownership, a valid means of identification such as a National Identity Card, Permanent Voter’s Card or Driver’s Licence as well as details of their alternate bank account and BVN.
Creditors of the defunct banks have also been advised to submit their claims within the same period. The NDIC noted that, in accordance with the law, payments to creditors will commence only after all depositors have been fully paid.
Payments to bank staff and shareholders will follow subsequently and will be made from proceeds realised through asset disposals and debt recoveries, in the form of liquidation dividends.
Debtors of the failed banks have been directed to liaise with the NDIC’s Asset Management Department to ensure the settlement of outstanding obligations.
The NDIC urged depositors to activate transaction alerts on their alternate bank accounts to monitor payments, adding that those without alerts could confirm credits through USSD codes or by visiting their bank branches.
Reaffirming its mandate, the Corporation assured Nigerians of the continued safety and stability of the banking system, stressing that banks whose licences have not been revoked remain safe and fully operational.
“The NDIC remains committed to protecting depositors’ funds and maintaining confidence in the Nigerian banking system,” the notice stated.
