The Central Bank of Nigeria has declared that a fee of N100 will continue to be imposed on Nigerians who withdraw less than N20,000 from an automated teller machine at another bank.
This is in accordance with a frequently asked questions document that gives further details on a new CBN order and was posted on the apex bank’s website on Thursday.
IREPORT247NEW had earlier reported that new transaction fees for Automated Teller Machines (ATMs) were announced by the Central Bank of Nigeria (CBN), it will go into effect on March 1, 2025.
Transactions both domestically and internationally will be impacted by the updated fees.
Under the new structure, an ATM used by a customer’s own bank will continue to be free.
On-site ATM withdrawals, however, will incur a fee of N100 for each N20,000 taken out.
Customers will be charged N100 plus a surcharge of up to N500 per N20,000 when they make an off-site withdrawal from an ATM operated by another bank.
The CBN noted that the penalty on withdrawals below N20,000 is intended to dissuade consumers from dividing withdrawals into smaller sums to avoid fees.
The FAQ document stated, “Yes, the fee of N100 will apply if you withdraw less than N20,000 from another bank (a bank other than the one that issued your payment card).
“ATM transactions will incur a base fee of N100 per transaction. It is also important to note that a tiered fee structure will apply for transactions exceeding N20,000, with an additional N100 charged for each subsequent withdrawal of N20,000 or portion thereof.
Customers who often use ATMs outside of their primary bank may see an increase in prices since all withdrawals at another bank’s ATM will be subject to fees starting March 1, 2025.
The apex bank has made it clear that financial institutions are not allowed to charge more than the specified fees. Any bank that violates the rule will face consequences, including forcing consumers to withdraw less than N20,000 each transaction even when they have enough money in their account.
Consumers who encounter such limitations are urged to contact the CBN Consumer Protection Department at cpd@cbn.gov.ng to file a complaint.