CBN returns Bank’s ATM withdrawal fee to N35 from N65

AFTER years of public agitations, the Central Bank of Nigeria (CBN) on Sunday finally reversed the N65 withdrawal charges for Automated Teller Machines usage in other banks to N35.

The new fee, according to the latest Guide to Bank Charges made available today would be levied on bank customers after their third withdrawal.

It will take effect from 1st January, 2020.

It could be recalled that in August 2014, the CBN announced that commercial banks would no longer bear the cost of N65 ATM withdrawal made by their customers on other banks.

It noted that from 1st September, the same year, the new charges would kick-off, despite complaints from the general public

As at 2017, the charges persisted in a circular to all banks, other financial institutions and mobile payment operators. The circular was signed by Kevin Amugo, a Director of Financial Policy and Regulations Department.

However, according to a report by Punch, the CBN also removed Card Maintenance Fee on all ATM cards associated with current accounts






     

     

    The guidelines, the report say also “pegged the Advance Payment Guarantee to a maximum of one percent of the APG value in the first year and 0.5 percent for subsequent years on contingent liabilities.”

    The mother bank further warned other financial institutions to comply with the regulations, otherwise face sanction or a levy of N2 million.

    “Financial Institutions are to note that any breach of the provisions of this Guide carries a penalty of N2,000,000 per infraction or as may be determined by the CBN from time to time.

    “Failure to comply with CBN’s directive in respect of any infraction shall attract a further penalty of N2,000,000 daily until the directive is complied with or as may be determined by the CBN from time to time,” the guideline states.

    Olugbenga heads the Investigations Desk at The ICIR. Do you have a scoop? Shoot him an email at [email protected]. Twitter Handle: @OluAdanikin

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