The Central Bank of Nigeria (CBN) says it has eliminated the three free monthly withdrawals transaction fees for customers using other banks’ Automated Teller Machine (ATMs) from March 1.
The apex bank disclosed this on Tuesday in a circular posted on its website, addressed to all banks and other financial institutions.
The circular, signed by John Onojah, Acting Director, Financial Policy and Regulation Department, said the measure was in response to rising costs.
“In response to rising costs and the need to improve efficiency of Automated Teller Machine (ATM) services in the banking industry, the Central Bank of Nigeria (CBN) has reviewed the ATM transaction fees prescribed in Section 10.7 of the extant CBN Guide to Charges by Banks, Other Financial and Non-Bank Financial Institutions, 2020 (the Guide).
“This review is expected to accelerate the deployment of ATMs and ensure that appropriate charges are applied by financial institutions to consumers of the service.
“Accordingly, banks and other financial institutions are advised to apply the following fees with effect from March 1, 2025,” he said.
The circular said that withdrawals from a customer’s financial institution attracted no charge, but those from another institution’s ATM in Nigeria would attract charges of N100 per N20,000 withdrawal.
It listed charges of N100 plus a surcharge of not more than N500 per N20,000 withdrawal on other categories of fees for other financial institutions.
It also noted surcharge categories to be disclosed at the point of withdrawal to the consumer.
“Furthermore, the three free monthly withdrawals allowed for Remote-On-Us (other bank’s customers/Not-On-Us consumers) in Nigeria under Section 10.6.2 of the Guide shall no longer apply,” it said.