Joy Agwunobi
The National Pension Commission (PenCom) has issued a directive requiring the inclusion of Bank Verification Numbers (BVN) for all Retirement Savings Account (RSA) registrations and data recapture processes.
This new regulation, effective from February 1, 2025, was outlined in a recent circular signed by A.M. Saleem, the Head of the Surveillance Department, and aims to strengthen the security and integrity of the pension industry database.
The circular mandates that Pension Fund Administrators (PFAs) ensure BVN details are provided by individuals or RSA holders when processing RSA registrations or during data recapture.
“The National Pension Commission (PenCom) hereby directs that all Pension Funds Administrators (PFAs) must require the mandatory provision of the Bank verification Number (BVN) from individuals/RSA holders in processing their request for RSA. Registration or Data Recapture, as applicable,” the commission stated.
This requirement is part of PenCom’s ongoing efforts to enhance the security of the pension system.
To ensure compliance, PFAs are instructed to validate that the BVN submitted for RSA registrations and data recapture processes contains the correct 11 digits. The BVN field will be marked as mandatory on RSA registration forms, meaning no registration will be processed without it.
Additionally, existing RSA holders must provide their BVN during the data recapture process, and PFAs are required to update their forms to reflect this mandatory field.
For those whose BVN details are not currently available in the Enhanced Contributor Registration System (ECRS), PenCom has assured that arrangements will be made for PFAs to update these records before the new directive is enforced.
The circular explicitly states that it overrides specific provisions of the Revised Guideline on Retirement Savings Account Registration (2024), particularly Sections 2.2.1 (15) and 5.3.6 (16).
With this initiative, PenCom aims to mitigate the risks associated with identity fraud, improve RSA management, and ensure better alignment with Nigeria’s financial system regulations.
In a separate circular also signed by A.M. Saleem, Head of the Surveillance Department, PenCom has updated its documentation requirements for Retirement Savings Account (RSA) registration, with the goal of simplifying the process for formal sector employees. This revision, outlined in the circular, addresses the difficulties faced by Pension Fund Administrators (PFAs) in obtaining Letters of Employment from new employees.
The updated guidelines, which take immediate effect, align with amendments introduced during the Data Recapture Exercise and are designed to ease the burden on both RSA holders and administrators. PenCom stated that these revised requirements supersede Section 4.1.2 of the Revised Guideline on Retirement Savings Account Registration (2024).
Under the new provisions, employees in both the private sector and public sector self-funded agencies must provide either a Letter of Employment, a Letter of Appointment, or a Staff Identity Card.
For employees in public sector treasury-funded agencies and police personnel, the required documents include a Letter of First Appointment, an Attestation Letter, or a Staff Identity Card.
If a Letter of Employment or Appointment is provided, employees may also use alternative forms of identification, such as a Staff Identity Card, National Driver’s License, Permanent Voter’s Card (PVC), or International Passport. However, if a Staff Identity Card is submitted as the primary form of documentation, no additional identification is required.
Further documentation required includes a National Identity Card or Enrolment Slip issued by the National Identity Management Commission (NIMC), containing the employee’s National Identification Number (NIN).
PenCom has also granted PFAs the flexibility to request additional documents if needed and has indicated that more requirements may be introduced in the future.
These updates are designed to enhance flexibility and address the practical challenges that employees and PFAs face during the RSA registration process.
