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The short answer
UK banks check payments to Nigeria because the law makes them understand and monitor every customer's transactions, and because their own fraud and money mule data shapes how they rate risk, whatever FATF's list says. International payments also fall outside the UK's APP scam reimbursement rules and Confirmation of Payee, so a bank's pause before an overseas payment is often its last chance to stop a loss.
You send money home every month without trouble. Then one payment is held, the app asks who the recipient is, and a day passes before it moves. It is tempting to read this as suspicion of Nigerians. The real reasons are more mechanical, and knowing them helps you get through the checks faster.
Reason one: the law asks about every payment
The Money Laundering Regulations 2017 apply to every customer, not only those sending to particular countries. Regulation 28 requires a firm to identify and verify you and to "assess, and where appropriate obtain information on, the purpose and intended nature" of the relationship or transaction. It must keep monitoring, including source of funds where necessary, and consider risk factors such as the purpose, size and regularity of transactions.
Nigeria left the FATF list of jurisdictions under increased monitoring in October 2025 (see what the delisting changed). But regulation 33 still lists geographical risk factors firms must weigh, including credible reports of weak anti-money laundering systems or significant levels of corruption or other crime. Each firm reaches its own view.
Reason two: fraud and money mules
The second driver is what banks see in their own data. The FCA reported in September 2026 that 35 firms closed 238,396 suspected money mule accounts in 2025, up from 233,269 in 2024 and 184,935 in 2023. The largest age group was 26 to 39. A mule account receives and passes on stolen money, often recruited through job adverts or social media.
Those numbers are not about Nigeria in particular; they are UK-wide. But they explain why firms have tightened screening on payments that leave the UK quickly after money arrives, wherever the destination. The FCA's press release quotes the regulator saying that money muling "is a crime and it's not victimless", and notes that people who let their accounts be used risk losing the account and possible prosecution.
Banks build their screening around patterns, not passports: a new payee, an amount far above your usual, money arriving from several people and leaving quickly, or a payment that matches a known scam script. A payment to Nigeria that fits one of those patterns may be paused even if you have sent there for years.
Reason three: protections stop at the border
Two UK safety nets do not cover international payments:
| Protection | What it covers | International payments |
|---|---|---|
| APP scam reimbursement (from 7 Oct 2024) | UK payments made by Faster Payments or CHAPS after you were tricked, up to £85,000 | Excluded, according to Nationwide's summary of the PSR rules |
| Confirmation of Payee | Checks the name against the account for UK CHAPS, Faster Payments and Bacs payments | Not in scope, per Pay.UK |
If you are tricked into paying a scammer's Nigerian account, there is no mandatory refund scheme to fall back on. That is why a bank may ask more questions before an overseas payment than before a UK one: the warning screen is the main protection left. See APP fraud and payments to Nigeria.
What a check looks like, and how to answer it
- A question in the app. Who is the recipient, what is the payment for, have you met them. Answer truthfully; a scam warning ignored can count against a later complaint.
- A request for documents. Payslips, savings statements or a sale contract for a large sum. Send exactly what is asked.
- A call from the fraud team. Hang up and call back on the number on your card if you are unsure the call is real.
- A block or account review. The Financial Ombudsman Service says blocks for fraud checks are "usually" reasonable, but it looks at the reasons, the evidence, proportionality and how the firm communicated.
If you think a hold was unfair or went on too long, complain to the firm first. For complaints about payment services the Financial Ombudsman says a firm has up to 15 days to respond; after that you can go to the Financial Ombudsman Service. See when a UK bank blocks a payment to Nigeria.
Steps that cut down the checks
- Pay from an account in your own name to a recipient whose name matches the Nigerian account.
- Set up regular payees before you need them urgently.
- Keep amounts consistent with your income and history, and warn your bank before an unusually large transfer.
- Never let someone else route money through your account, however small the favour.
Where Pryme fits
A Pryme account holds GBP and NGN in one place, with Send showing the rate and the fee before you approve. Verifiable statements and receipts with VerifyDoc.ai (receipts) give you clean evidence when a provider asks what a payment was for. Outside Nigeria, Pryme's activities are carried out through regulated partners.
Questions people ask
Why does my UK bank keep blocking payments to Nigeria?
Usually because a payment matches a fraud or money mule pattern, or is larger or newer than your normal activity. UK rules make banks understand the purpose of transactions for all customers.
Is it legal for a UK bank to hold my payment?
Banks may pause payments for fraud and financial crime checks. The Financial Ombudsman says such blocks are usually reasonable, but it looks at evidence, proportionality and communication.
Will I get my money back if I am scammed into paying a Nigerian account?
The UK APP reimbursement rules exclude international payments, so there is no mandatory refund. Report it to your bank at once.
Did leaving the FATF grey list stop bank checks on Nigeria?
It removed a formal country label, but firms still assess each transaction for risk under the Money Laundering Regulations.
Sources
- legislation.gov.uk: Money Laundering Regulations 2017, regulation 28 (up to date to 21 Oct 2026) · accessed Oct 2026
- legislation.gov.uk: Money Laundering Regulations 2017, regulation 33 (up to date to 23 Oct 2026) · accessed Oct 2026
- FCA press release: Firms crack down on money mules but need to do more (23 Sep 2026) · accessed Oct 2026
- Nationwide: UK PSR mandatory reimbursement rules for APP scams · accessed Oct 2026
- Pay.UK: Confirmation of Payee FAQs (last modified 30 Mar 2026) · accessed Oct 2026
- Financial Ombudsman Service: Frozen accounts and blocked payments · 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.