CBN Warns Nigerians: Keeping Money Sent to Your Account by Mistake Could Lead to Jail

The Central Bank of Nigeria (CBN) has warned bank customers against keeping money mistakenly transferred into their accounts, saying that refusing to return such funds could attract between five and 10 years’ imprisonment.

The warning was delivered by CBN Governor Olayemi Cardoso, who was represented by the bank’s spokesperson, Hakama Sidi Ali, at a stakeholders’ engagement in Ibadan, Oyo State, on Thursday, 22 October 2026.

The meeting, held at the Jogor Event Centre under the CBN Listens Programme, provided an opportunity for the apex bank to discuss financial-sector policies, address consumer concerns and explain measures aimed at strengthening confidence in Nigeria’s banking system.

The CBN’s position serves as a warning to individuals who may be tempted to treat unexpected deposits as personal money, particularly when the sender or the bank has not immediately contacted them.

However, the precise legal basis for the stated five-to-10-year prison term was not specified in the reported remarks. Any criminal penalty would depend on the applicable law and the circumstances of the case.

CBN Says Mistaken Transfers Must Be Returned

Cardoso warned that customers who deliberately refuse to refund money wrongly credited to their accounts could face serious legal consequences.

The CBN governor was quoted as saying that a customer who fails to refund wrongly deposited money to its rightful owner attracts five to 10 years’ imprisonment.

The warning reinforces the principle that an accidental bank transfer does not automatically give the recipient legal ownership of the funds.

Electronic transfers can go to the wrong account because of errors in entering account details, mistakes by the sender or other transaction-related problems. Once the error is identified, the parties involved need to work through the appropriate banking procedures to establish what happened and arrange a lawful resolution.

Keeping money that a recipient knows belongs to another person can lead to disputes and potential legal consequences, particularly where the recipient deliberately refuses to cooperate with efforts to recover it.

The CBN’s warning is therefore an important reminder that unexpected credits should be treated cautiously rather than regarded as windfalls.

Customers who discover an unfamiliar deposit should contact their banks through official channels and request verification of the transaction.

What Should You Do If Money Enters Your Account by Mistake?

Anyone who discovers that money has been transferred into their account unexpectedly should take steps to protect themselves and ensure the matter is handled properly.

The first step is to check the transaction details through the bank’s official application, statement or customer-service channels. The recipient should avoid spending or withdrawing the disputed funds while the matter is being investigated.

The recipient should then notify the bank and provide relevant transaction details, including the amount, date and reference number where available.

If someone contacts the recipient claiming to have made an accidental transfer, the individual should not rely solely on screenshots, text messages or other unverified evidence. The transaction should be confirmed independently through the bank.

This is particularly important because fraudsters may use false transfer alerts or claim to have sent money by mistake as a way of persuading unsuspecting people to send funds to another account.

Where a transfer is confirmed to be erroneous, the recipient should cooperate with the bank’s established reversal or recovery process.

It is also advisable to retain transaction records, complaint reference numbers and written communications until the matter has been resolved.

Beware of Fake Transfer Alerts and Refund Scams

The CBN’s warning also highlights the importance of distinguishing genuine mistaken transfers from fraudulent schemes.

In some cases, a person may receive a message claiming that money has been sent to their account, even though no funds have actually arrived. In other cases, a fraudster may make a transfer and then pressure the recipient to send a refund to a different account.

Customers should therefore avoid transferring money directly to an individual who contacts them without first verifying the transaction with their bank.

If a genuine erroneous transfer has occurred, the bank can provide guidance on the appropriate procedure for resolving it. This helps establish an official record and reduces the risk of a customer becoming involved in a second disputed transaction.

Bank customers should never disclose their passwords, personal identification numbers, one-time passwords or other confidential security information to anyone claiming to be a bank representative.

The CBN has also cautioned against obtaining another person’s banking information through fraudulent means, warning that such conduct attracts serious penalties.

Protecting banking information and using official channels are important safeguards against fraud and unauthorised transactions.

CBN Explains How Customers Can Report Unresolved Complaints

During the Ibadan meeting, Cardoso also reminded customers that they could escalate complaints to the CBN’s Consumer Protection and Financial Inclusion Department when their banks failed to address them within the prescribed timelines.

According to the reported remarks, customers may escalate a complaint if their bank fails to acknowledge it within three days of submission.

Customers may also seek further intervention if their complaints remain unresolved within the applicable time limits set out in the CBN’s Consumer Protection Regulation.

Keeping a complaint tracking number and copies of relevant correspondence can help customers demonstrate when the matter was reported and what steps the bank has taken.

The complaint process is relevant to mistaken transfers because customers may need assistance where the sender, recipient or financial institution disagrees about how a transaction should be handled.

However, customers should distinguish between reporting a transaction to the bank and independently returning money to a person whose identity or claim has not been verified.

The safest approach is to maintain a clear record of the complaint and follow the bank’s official instructions.

CBN Highlights Financial Sector Reforms

Beyond the warning on mistaken transfers, the governor used the engagement to highlight measures the apex bank says are intended to improve financial stability, transparency and access to banking services.

Among the initiatives mentioned were the non-resident Bank Verification Number (BVN), reforms to the foreign exchange market and the Nigerian Payments System Vision 2028.

The non-resident BVN initiative is designed to make it easier for eligible Nigerians living abroad to access banking services in Nigeria while meeting applicable identification and verification requirements.

The CBN also referred to the Nigerian Overnight Financial Rate, developed in collaboration with the Financial Markets Dealers Association, as part of efforts to strengthen the country’s financial market infrastructure.

These initiatives form part of a wider programme aimed at improving the operation of the financial system and expanding access to services for individuals and businesses.

The governor also emphasised the importance of financial inclusion, saying the CBN would continue working with banks, financial technology companies, mobile money operators, development partners and state governments to reach underserved communities.

The objective is to ensure that more Nigerians can access appropriate financial services while maintaining confidence in the institutions responsible for safeguarding their money.

Why the Warning Matters to Bank Customers

Nigeria’s growing reliance on electronic payments makes it increasingly important for customers to understand their responsibilities when dealing with disputed transactions.

Instant transfers provide convenience for individuals and businesses, but mistakes can occur when account numbers are entered incorrectly or payment instructions are misunderstood.

Such errors can create financial difficulties for both the sender and the recipient, especially when the funds are spent before the mistake is discovered.

A recipient who spends disputed money may face demands for repayment and additional complications if the transaction becomes the subject of a formal complaint or legal action.

The situation can be particularly difficult where the recipient has already used the funds for personal expenses and is unable to repay them immediately.

For this reason, customers should treat unexpected credits as unresolved transactions until their source and purpose have been established.

Banks also have an important role to play by providing accessible complaint channels, investigating reported errors promptly and explaining the steps required to recover funds.

Clear procedures can help protect both the person who sent the money and the person whose account received it.

The Importance of Legal Clarity

Although the CBN has warned of a possible five-to-10-year prison term, the legal consequences of an erroneous transfer depend on the applicable legislation and the facts of each case.

An accidental deposit does not, by itself, establish that the recipient has committed a criminal offence. The circumstances surrounding the transaction, the recipient’s knowledge and actions, and the relevant legal provisions would need to be considered.

Likewise, deliberately retaining funds known to belong to another person may raise legal questions that go beyond a simple banking error.

The reported warning did not identify the specific statutory provision supporting the stated prison term. Consequently, customers should not interpret the announcement as meaning that every disputed transfer automatically carries the same criminal penalty.

The practical advice remains straightforward: do not assume that money received by mistake belongs to you, do not spend disputed funds, and resolve the matter through verifiable banking procedures.

The Central Bank of Nigeria has warned that customers who deliberately refuse to return money mistakenly credited to their accounts could face serious legal consequences, including the five-to-10-year prison term cited by Governor Olayemi Cardoso’s representative at a stakeholders’ meeting in Ibadan.

The warning highlights the responsibilities of bank customers in an increasingly digital financial system, where erroneous transfers and fraudulent payment claims can create costly disputes.

Anyone who receives an unfamiliar deposit should verify it with their bank, preserve the relevant records and cooperate with the official process for resolving the transaction. Customers should also remain alert to fake transfer alerts and attempts to persuade them to send money to unverified accounts.

The CBN has reiterated that customers can escalate unresolved banking complaints through its consumer-protection channels.

Ultimately, protecting financial transactions requires cooperation between banks and their customers, reliable verification procedures and clear legal processes. Nigerians should treat mistakenly received funds with caution and ensure that any reversal is handled through a legitimate and documented channel.