For a long time in the money lending business, debt recovery has always been a challenge.
Many loans end up as non-performing loans (NPLs), meaning borrowers refuse to pay back.
Because of the high default rate, the Central Bank of Nigeria (CBN) introduced the GSI Policy to help lenders recover debts more effectively.
If you are lender or borrower and you don’t know about the GSI Recovery, you need to pay attention.
What really is GSI Recovery?Is it a debt agency calling people, or a CBN policy?
Let’s break it down in simple words.
What is GSI Recovery?
GSI means Global Standing Instruction. It is a policy introduced by the Central Bank of Nigeria (CBN) to help banks recover unpaid loans.
When you accept loan terms and borrow money from a bank, you sign a GSI mandate without even thinking much about it.
That mandate allows the bank to take money from your other accounts if you refuse or fail to pay back your loan.
In simple term, GSI is not a company, it is a loan recovery system controlled by the CBN.
How it Works
Here’s how GSI recovery works:
- When you borrow money from a bank and agree to the loan terms.
- As part of the agreement, you have give the bank permission to GSI mandate
- If you don’t repay you loan as agreed, the bank will activate the GSI.
- The system, through NIBSS (Nigeria Inter-Bank Settlement System), will checks all your bank accounts linked to your BVN.
- Money in other if your accounts will be deducted automatically and sent to the bank you owe.
For example, if you borrow ₦100,000 from Bank A and move your money to Bank B thinking you are safe, the GSI will still find it.
That’s because your BVN links all your accounts together.
This makes it almost impossible to run from loans once the GSI is triggered.
Click here to download CBN GSI policy documents.
See Also: How to Stop GSI Recovery in Nigeria 2025
Is GSI Recovery a Debt Collection Agency?
No, it is not. GSI Recovery is CBN Policy not a debt collection Agency or company.
GSI happens between your bank, NIBSS, and the CBN.
If anyone calls you and claims to be “from GSI Recovery,” they are scammer.
Is GSI Recovery Approved by CBN or FCCPC?
Yes, GSI is a CBN-approved policy, created to reduce bad loans and make borrowers more responsible.
The FCCPC (Federal Competition and Consumer Protection Commission) is not behind GSI.
However, FCCPC protects consumers from harassment and illegal debt collection.
So if any bank or loan app harasses you in the name of GSI, FCCPC is the agency to report to.
What to Do if Someone Contacts You Claiming to Be GSI Recovery
GSI can not send any agents to collect loans through calls, SMS, or WhatsApp. Your bank is the only one that can activate GSI against your accounts.
If you get such calls, hang up immediately.
If they continue to disturb you, block the number and report to FCCPC or the police.
What if GSI Recovery Harasses Me?
If what you are experiencing is harassment, then it is not real GSI.
The real GSI is silent – money is simply deducted from your bank account.
It does not involve threats, shame, or calls to your family and friends.
If someone is harassing you, they are most likely an illegal loan app or scammer.
Gather evidence of the harassment and report to the FCCPC.
Final Thoughts
GSI Recovery is a CBN policy that allows banks to collect unpaid loans directly from your other accounts.
It is powerful, it is legal, and it can affect anyone who defaults on a loan.
But remember: if someone calls you claiming to be “GSI Recovery,” that is not the real system.
Always verify with your bank and protect yourself from scammers.
FAQs
1. What does GSI Recovery do?
It allows banks to recover loans automatically from your accounts.
If you owe money and don’t pay, the system checks all your bank accounts linked to your BVN and moves the money to settle the debt.
2. Is GSI Recovery a debt collection agency?
It is not a private debt collection agency, rather a banking policy created by the CBN.
So if anyone calls claiming they are from “GSI Recovery,” do not believe them.
3. How do I know if a message or call from GSI Recovery is real?
Real GSI does not call or text you.
You will only notice deductions directly from your account, usually with the narration “Global Standing Instruction” or “GSI Recovery.”
If someone is asking you for money over the phone, it is fake.
4. How can I contact GSI Recovery customer service?
There is no customer care number for GSI because it is not a company. If you have questions, contact your bank directly.
Your bank’s customer service can explain your loan status and any deductions made under GSI.
5. Is it approved by CBN/FCCPC?
Yes, GSI is approved and managed by the CBN. FCCPC did not create it but they protect you if any lender harasses you.
So, CBN is in charge of the system, while FCCPC protects your consumer rights.
6. What should I do if GSI Recovery harasses me?
If you are being harassed, it is not the real GSI.
The system does not involve calls or threats.
Block the number, gather evidence, and report to FCCPC or the police.
You can also contact your bank for clarification on your loan.
