The Central Bank of Nigeria (CBN) has introduced fresh directives on banking charges, abolishing card maintenance fees for naira-denominated debit and credit cards, while virtual cards remain free.
Under the revised framework, the apex bank raised the cost of issuing or replacing debit and credit cards from N1,000 to N1,500. It said the adjustment forms part of an updated guide on charges for financial institutions.
In a circular titled ‘Guide to Charges by Banks and Other Financial Institutions’, the CBN stated that the new fee took effect from May 1 and applies to standard ATM cards issued nationwide.
The updated guide replaces the January 2020 version and covers all CBN-regulated institutions, including commercial banks, microfinance banks, payment service banks, and mobile money operators.
According to the regulator, the new framework aims to improve transparency, standardisation, flexibility, and competition within Nigeria’s financial system.
POS payments remain free for customers, with merchants responsible for the service charge. The merchant service fee is pegged at 0.5 percent of the transaction value, capped at N10,000 regardless of the payment channel.
Email alerts remain free
The CBN maintained that email transaction alerts must remain free. However, banks may charge for SMS alerts on a cost-recovery basis.
It also retained account maintenance charges for current accounts, noting that fees remain negotiable but capped. The charge will drop to N0.5 per mille in 2026 and be eliminated by 2027.
ATM withdrawals, transfers updated
Customers using another bank’s ATM will pay N100 for every N20,000 withdrawn at on-site machines. Off-site ATMs may attract an extra surcharge of up to N500 per transaction, subject to disclosure.
Electronic transfers of N5,000 and below will remain free. Transfers between N5,000 and N50,000 will cost N10, while transactions above N50,000 will attract a N50 fee.
The CBN directed banks to apply charges only within available account balances and defer outstanding fees until accounts are funded.
It also instructed financial institutions to notify customers when charges are negotiable and highlight their right to bargain where applicable.
The circular added that account reactivation and routine services will remain free. Any new charges, products, or services not listed must receive prior approval from the CBN.
The apex bank said the revised policy is part of efforts to strengthen consumer protection, standardise banking operations, and ensure fair pricing across the financial sector.
