For many Nigerians saving diligently into their Retirement Savings Accounts, the hope of finally owning a home rests on PenCom’s equity contribution scheme.
The commission introduced the programme in 2022, allowing contributors to withdraw up to 25% of their pension savings to cover the equity required for a mortgage.
Blacklist Shakes The Sector
However, that hope just faced a setback.
On August, 11, 2025, the National Pension Commission (PenCom) issued a circular that blacklisted seven mortgage banks.
It directed Pension Fund Administrators and Custodians to stop processing any equity applications tied to those banks.
Why PenCom Took Action
PenCom named the culprits clearly: Jigawa Savings & Loans, FHA Mortgage Bank, Delta Trust, AG Mortgage Bank, Infinity Trust, First Trust, and Mutual Alliance.
According to the regulator, these banks failed to generate actual mortgages even after pension funds had been approved.
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Consequently, PenCom pulled the plug.
Spokesman Ibrahim Buwai explained the move in plain terms when he spoke with the newsmen.
“The whole point of this scheme is to enable RSA holders to secure homes through mortgages,” he said.
“If banks collect approvals but fail to generate the loans, they break the rules.
That is why we blacklisted them.”
Nigerians Left In Limbo
By March 2025, over 24,500 RSA holders had already tapped into the scheme, drawing nearly ₦150 billion to move closer to home ownership.
Therefore, PenCom’s clampdown now places thousands of hopeful workers in a bind—while the scheme remains intact, their choice of mortgage partners just shrank.
Behind the statistics, workers still see their pensions as more than numbers.
They see years of contributions as bricks, doors, and roofs waiting to become homes.
Thus, when PenCom acts tough, they find reassurance in the promise of accountability, yet they also fear that access to mortgages may become harder.
Now, the ball lies squarely in the banks’ court.
If the seven blacklisted institutions want a way back, they must rebuild trust.
Meanwhile, Nigerian workers dreaming of a home must wait a little longer, uncertain of when the doors will open.
