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[Abuja]–On Thursday 23rd February, 2017, the Central Bank of Nigeria has announced the reintroduction of bank charges in some banking categories of cash deposits and withdrawals, three years after the apex bank stopped the charges.

This development came after the decision was taken at the 493rd Bankers’ Committee meeting, which held in Abuja two weeks ago.

In a circular signed by the Director, Banking and Payments System Department, CBN, Mr. Dipo Fatokun to all Deposit Money Banks posted on its website, the regulator said the decision to reintroduce the charges on cash deposits was part of the review of charges on deposits and withdrawals under the cashless policy.

It also directed that with effect from April 1, 2017, banks in the states where the cashless policy was already operating, Lagos, Ogun, Anambra, Abia, Kano, Rivers and the Federal Capital Territory, would begin to impose charges on deposits and withdrawals above N500,000. Banks will from that date begin to charge individuals 1.5 per cent and two per cent for deposits and withdrawals between N500,000 and N1m.

“Please be informed that the bankers committee at its 493rd meeting held on February 8 reviewed the cashless policy charges on withdrawal and deposit and decided that the policy be extended to the 30 remaining states of the federation,” the circular reads.

Deposits of amounts above N1m to N5m will attract 2% and withdrawals will attract 3% charge. Deposits and withdrawals above N5m will attract 3% and 7.5% charge respectively.

In the corporate category, deposits and withdrawals below N3m will not attract charges.

Deposits and withdrawals between N3m and N10m will attract 2% and 5% respectively, while deposits and withdrawals between N10m and N40m will attract 3% and 7.5% respectively.

Deposits and withdrawals above N40m will attract 5% and 10% respectively.

While the CBN directed lenders to train their employees to enlighten customers on the new policy, it mentioned that exempted from this policy are revenue generating agencies of the federal, state and local governments (for lodgements), embassies, diplomatic missions, multilateral and aid agencies.

Copyright 2017 The Page. Permission to use quotations from this article is granted subject to appropriate credit being given to as the source.



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