AI agents for business finance: what they can and can't do
What AI agents can do in bookkeeping, close, collections and compliance today, where a person must stay in charge, and how to judge a product.
The short answer
A Nigerian bank can end its relationship with a customer, but it is expected to do so under the account terms and with notice; lawyers quoted in 2021 said banks notify customers before closing for an infraction, and a 2025 legal review records a court finding a bank negligent for failing to tell a customer about a restriction. Whatever the reason, your remaining balance must be paid to you unless an order or debt lawfully holds it.
The relationship is a contract
Your account is a contract between you and the bank. Olisa Agbakoba Legal's June 2026 review, citing UBA Plc v. Wasiu (2017), describes the banker-customer relationship as contractual, with a duty to honour your mandate. That contract, set out in the account opening terms you signed or accepted in the app, is where the bank's right to close the account is found.
So the short answer is that a bank can close an account, but it has to do so on the terms of that contract and within the law. Most account terms allow either side to end the relationship with notice, and allow the bank to act faster where it suspects fraud or a breach of law.
When banks exit customers
Common reasons a bank gives for closing an account include:
- Suspected fraud or money laundering on the account.
- Incomplete KYC that was not fixed after reminders.
- Using the account for activity the bank or regulator has restricted.
- Persistent breach of the account terms, such as giving false information.
- A business decision to stop offering a product or serving a category of customer.
A well-known example came in February 2021, when a CBN directive told banks to close accounts used for crypto exchange payments. Lawyers quoted by TechCabal at the time said banks were supposed to notify the customer of the infraction and then act, but also that notice practice varies by bank and the bank may not be obliged to give a reason for the closure.
What notice should look like
We could not open the CBN Consumer Protection Regulations text in October 2026, so we do not quote a fixed notice period. What the sources show:
- Banks generally inform customers, by letter, email or SMS to the details on file (TechCabal, 2021).
- Failing to notify a customer of a restriction was held negligent in a case discussed in TEMPLARS' November 2025 review.
- Your account terms may specify a period; check the latest version on the bank's website or app.
In practice, many people say they were "not told" when the notice went to an old email address or phone number. Before you complain, check spam folders and confirm what contact details the bank holds.
How the balance is returned
Closing an account does not end the bank's duty to pay you what is in it, unless something lawfully holds the money: a court or agency order, a lien over a disputed amount, or a debt you owe the bank. Routes banks use:
- Transfer to another account in your name, which you nominate in writing.
- A bank draft in your name, which lawyers quoted by TechCabal described as the usual practice.
- Cash at the branch for small balances, on presentation of ID.
The CBN's Guide to Charges (effective 1 January 2020) lists account closure as a waived charge, so the bank should not deduct a closure fee. Ask for a final statement to check.
How to challenge a closure
- Ask the bank in writing for the date and reason for the closure and a final statement.
- If you believe it was wrong, say why and attach your evidence.
- Request the balance in writing, naming the account to pay it into.
- Get a complaint reference number.
- After two weeks without resolution, escalate to the CBN Consumer Protection Department, which asks for proof you complained to the bank first.
- For large sums or clear unfairness, take legal advice; courts have awarded damages against banks that restricted accounts without lawful basis.
If the balance has still not been paid, our follow-up guide on what to do when a bank keeps your balance covers the demand letter and NDIC route.
What to check in your account terms
- Whether the bank must give notice before closing, and how (letter, email, SMS, in-app).
- Whether it can close immediately for suspected fraud or breach.
- How the closing balance is paid out.
- Which contact details it will use for notices; that is why keeping your phone and email current matters.
Banks update their terms from time to time, so read the version currently on the website or in the app, not only the form you signed years ago. If the terms say notice is required and none was sent to your current details, put that in your complaint.
Where Pryme fits
If you need a second account while a dispute is resolved, a Pryme account can be opened from any country, with Naira deposits held by Solid Allianze Microfinance Bank, licensed by the CBN and insured by the NDIC up to the applicable limit. See how it works.
Questions people ask
Can my bank close my account without informing me?
Banks are generally expected to notify customers under the account terms, and a court has found a bank negligent for not telling a customer about a restriction. The bank may not always have to give a reason. Check the contact details it holds for you, then ask in writing.
What happens to my money when a bank closes my account?
It remains yours. The bank should pay the balance by transfer to another account in your name or by draft, unless a court order, lien or debt lawfully holds it.
Does a bank charge a fee to close an account?
The CBN Guide to Charges effective 1 January 2020 lists account closure as waived, so there should be no closure fee.
How do I complain about my account being closed?
Write to the bank and ask for the reason, a final statement and your balance, and get a reference number. If it is not resolved in two weeks, write to the CBN Consumer Protection Department.
Sources
- Mondaq / Olisa Agbakoba Legal: Freezing orders and account restrictions in Nigeria (17 Jun 2026) · accessed Oct 2026
- TechCabal: 'Is it legal?' Finance lawyers on bank account closures (18 Feb 2021) · accessed Oct 2026
- TEMPLARS ThoughtLab: Freezing Bank Accounts in Nigeria (19 Nov 2025) · accessed Oct 2026
- GTBank: Guidelines for managing dormant accounts, unclaimed balances and other financial assets · accessed Oct 2026
- CBN: Guide to Charges by Banks, Other Financial and Non-Bank Financial Institutions (effective 1 Jan 2020) · accessed Oct 2026
- CBN: Complaints Management (Consumer Protection Department) · accessed Oct 2026
This article is general information, not financial, legal or tax advice. Products described are provided under the terms on this site and are subject to regulation and eligibility.