OPay, a Nigerian fintech company, has implemented KYC (Know Your Customer) measures to combat fraud and impersonation, announced at a press briefing on Wednesday. KYC involves banks collecting customer identity and address information.
Recent assessments have uncovered significant weaknesses in OPay’s basic account verification process for tier 1, particularly in its facial identity system, raising concerns about potential exploitation by malicious users. During testing, a user successfully signed up using basic personal information, bypassing crucial security checks.
Last year, the Central Bank of Nigeria warned against weak verification processes, mandating stricter KYC measures and requiring verification with BVN (Bank Verification Number) or NIN (National Identity Number) by April 2024. OPay has now begun enforcing BVN and NIN requirements for account opening and will block non-compliant accounts. They have partnered with Interswitch to enhance payment security and ease transactions.
Olayemi Precilia, Director of Cards Business at OPay, emphasized the mandatory input of NIN for tier one account holders, while Ikponmwosa Kolawole Odiase, Director of Partnerships, confirmed plans to remove fraudulent accounts from the system. OPay intends to start blocking non-compliant accounts in March 2024.
Story: CIO Africa
