Kehinde Fajobi
The Central Bank of Nigeria (CBN) has scrapped the three free monthly withdrawals previously allowed for customers using other banks’ Automated Teller Machines (ATMs).
In a circular dated February 10, the apex bank said the policy review was necessary due to rising costs and the need to enhance ATM service efficiency.
“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 directive stated.
However, withdrawals made from a customer’s own bank ATM will remain free.
Under the new charges, customers using another bank’s ATM will pay ₦100 per ₦20,000 withdrawal if the ATM is located within a bank’s premises.
For off-site ATMs, the same ₦100 charge will apply, along with an additional surcharge of up to ₦500.
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The CBN clarified that the surcharge would be the income of the ATM deployer and must be disclosed at the point of withdrawal.
For international ATM withdrawals, charges will be determined by the rate set by the international acquirer.
“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,” the circular added.
The new charges will take effect from March 1, 2025.