The Central Bank of Nigeria (CBN) on Tuesday, announced a review of the fees for Automated Teller Machines (ATMs) transactions.
In a circular signed by its acting director of financial policy and regulation department, John Onojah, the apex bank said the revised charges will take effect from March 1, adding that the review is, “in response to rising costs and the need to improve efficiency of ATM services in the banking industry.”
According to the circular: “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.”
Under the new rules which will take effect from March 1, 2025, customers withdrawing from their bank’s ATMs (on-us transactions) will continue to enjoy free withdrawals.
However, customers withdrawing from other banks’ ATMs will be charged a N100 fee per N20,000 withdrawal at on-site ATMs (those located at bank branches).
For withdrawals from off-site ATMs (those that are not within banks’ premises), customers not withdrawing from their bank’s ATM will be charged a N100 fee plus a surcharge of not more than N500 per N20,000 withdrawal.
The CBN explained in the circular that the surcharge is the income of the “ATM deployer/acquirer” and must be disclosed to consumers at the point of withdrawal”.
The regulator also stated that international withdrawals per transaction, whether debit/credit card, would be charged at the exact rate set by the international acquirer.
“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,” the apex bank added.
