Irorun does not accept virtual bank accounts!

Have you tried to link an account to your Irorun wallet, and it failed? Do you wonder why?

Now, here’s the gist of it.

There’s a high chance you tried to link a virtual account. Unfortunately, Irorun doesn’t accept virtual accounts as a suitable link to your Irorun wallet. We understand that it may be your preferred means of saving money (and we don’t fault you for that) but at Irorun we do not accept you linking a virtual account to your Irorun wallet.

If you’re unsure what a virtual account is, here’s a brief rundown.

Virtual accounts are non-physical payment methods used to send and receive money. A unique account number is usually assigned to the user by the financial institution. A virtual account operates in the same way a traditional non-virtual account does, with the exception of a physical location.

Virtual accounts are set up using basic personal and financial details like name, mobile number, email address, Bank verification number etc.

Virtual accounts are issued by most Fintech companies or some traditional banks. The Fintech company you patronize may provide you with a virtual account where you transact or save money for the foreseeable future. Unfortunately, Irorun does not accept links to these virtual accounts.

Here are 3 reasons why we don’t accept virtual accounts:

Most virtual accounts are usually tied to a Fintech company which has different regulatory policies from a traditional bank. This raises uncertainty as regards payment policies, as well as issues of companies packing up and leaving clients stranded.

There is no certain way to prove that the virtual account belongs to you, as your BVN may not be linked to it. How then are we sure a prospective borrower owns that account? How do we get our money back in cases where there are no legal or financial ties to the virtual account whatsoever?

There is no bank verifying that your ‘Know Your Customer’ (KYC) has been done. A traditional bank offers a series of data collection and KYC forms that certifies that indeed, this client has an account with us and can be contacted with ease through several means. Unlike virtual accounts, where it’s near impossible to verify if a client truthfully and completely updated their KYC forms.

In other words, the risks and uncertainties are far too numerous to brush aside. Until such a time when there are far stricter regulations.

For the time being, we urge that you understand and comply with linking registered and active non-virtual accounts issued by a traditional bank in your country.

Here’s a fun fact

Irorun also issues virtual accounts from providers such as Sparkle Bank, Polaris, etc. which are used solely for the repayment of loans. This virtual account is issued to you when you sign up and apply for a loan with us. With this virtual account, you are able to receive money from any non-virtual bank account.

Irorun is a lending platform and is licensed only to give out loans. You should not use your Irorun-issued virtual account for anything other than paying back your loans.

Using your Irorun virtual account for any other reason different from what it has been assigned can lead to your account being deactivated. Read more on why the Irorun virtual account should not be used for saving.

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Irorun is always available to give you the necessary information that would make your loan experiences free from hitches. Send us a message at support@irorun.com!