Economy
BANK customers have decried the upward review of Automated Teller Machine (ATM) transaction fees by the Central Bank of Nigeria (CBN).
Some of the customers who spoke to the News Agency of Nigeria (NAN) in Abuja on Sunday, said the new policy negated the financial inclusion and cashless policies of the CBN.
Mrs Catherine Itoha, a civil servant, said the tax would discourage the unbanked from getting into the financial inclusion net.
Itoha who observed that this method of tax generation was not obtainable in other climes, appealed to the CBN to devise other means of tax instead of discouraging banking.
”Is this how they want to encourage cashless policy? This is definitely not good.
”The tariff is too high. This is the reason why
if you go to most bush market, they do not accept transfer. The traders will tell you that they do not have bank accounts therefore, you pay so much to withdraw.
”The other day that I went to a bush market, I used N4000 to withdraw N90,000 in a Point of Sale (PoS) because they insisted on cash.
”The government should be thinking of how to bring people like those traders into the banking net and not chase them away with charges.
”It is the masses that are suffering all these charges,” she said.
Mr Davis Agede, a former banker, regretted that the CBN would bring a policy and another to clash with the previous one.
Agede alleged that with the ATM transaction fees increase, the PoS merchant would soon increase their fees.
Hajia Kudirat Aminu, a trader, said she now preferred to keep her monies in her home to run away from various bank charges.
Aminu said that although she barely used ATM for withdrawal, the new policy would further discourage some of her fellow traders who were small business owners.
”I go to the market everyday so I do not need to keep my money in the bank.
”This policy will discourage so many small business owners from using their bank accounts,” she said.
Another bank customer, Mr Kayode Are, regretted that all taxes had been reviewed upward in every sector.
”Does the government want to kill us with taxes?
”How will the poor masses survive this? he asked.
Miss Catherine Nnaji, a student and a bank customer, appealed to the CBN to reduce transaction fees charged customers withdrawing from another bank’s ATM.
Nnaji said the appeal was due to the absence of her bank and its ATM within her place of residence.
”My bank is too far away from where I stay. I usually use other bank’s ATM to withdraw money.
”The CBN should pity us because we are students and do not currently have a means of making money,” she said.
NAN reports that the CBN had on Feb. 10, released a circular to all banks and other financial institutions to apply the increased charges with effect from March 1.
CBN in the circular with the title ‘Review of ATM transaction fees’ said the move was in response to rising cost and the need to improve efficiency of ATM services in the banking industry.
”The CBN has reviewed the ATM transaction fees prescribed in Section 10.7 of the extant CBN Guide to charges by banks, other financial institutions 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.
”Accordingly, banks and other financial institutions are advised to apply the following with effect from March 1, 2025,” the CBN said.
The CBN in the circular said that customers withdrawing at the ATM of their financial institutions would not be charged.
However, the Bank said that customers withdrawing from another institution’s ATM would be charged.
”On-Us (customers withdrawing at the ATM of the customer’s financial institution) in Nigeria, no charge.
”Not-on-Us ( withdrawal from another institution’s ATM) in Nigeria; On-site-ATMs: A charge of N100 per N20,000 withdrawal.
”Off-site ATMs: A charge of N100 plus a surcharge of not more than N500 per N20,000 withdrawal.
”The income which is an income of the ATM acquirer/deployer, shall be disclosed at point of withdrawal to the consumer,” CBN said. (NAN)
16th February, 2025.
C.E.
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