BREAKING: CBN Shakes Up Banking Sector with New ATM Withdrawal Policy – Non-Customers to Pay N100 per N20,000

By Tgnews

In a significant move, the Central Bank of Nigeria (CBN) has introduced a new policy that will see customers charged for withdrawing cash from ATMs of banks other than their own. This policy, which is aimed at improving the efficiency of ATM services in the country, is a departure from the previous regime where customers were allowed to make three free withdrawals per month from ATMs of other banks.

According to the CBN, customers who withdraw cash from ATMs of banks other than their own will now be charged a fee of ₦100 per every ₦20,000. This means that if a customer withdraws ₦20,000 from an ATM owned by a bank other than their own, they will be charged ₦100. If they withdraw ₦40,000, they will be charged ₦200, and so on. This charge will be deducted directly from the customer’s account, leaving them with a reduced balance.

In addition to the charge for withdrawing cash from ATMs of other banks, the CBN has also introduced an additional surcharge for off-site ATMs. Off-site ATMs are ATMs that are located outside of a bank’s premises, such as those found in shopping malls or eateries. According to the CBN, customers who use off-site ATMs will be charged an additional surcharge of not more than ₦500 per every ₦20,000 withdrawn.

If a customer withdraws ₦20,000 from an ATM owned by a bank other than their own, they will be charged ₦100. If they withdraw ₦40,000, they will be charged ₦200, and so on

The CBN has attributed the introduction of this policy to the rising costs of maintaining ATMs and the need to improve the efficiency of ATM services in the country. The apex bank believes that the new policy will encourage banks to deploy more ATMs, as they will be able to generate additional revenue from the charges.

To avoid these charges, customers can withdraw cash from ATMs owned by their bank or use other payment methods such as mobile banking or online banking. Customers should also be mindful of their account balance, as the charges will be deducted directly from their account.

Off-site ATMs will be charged an additional surcharge of not more than ₦500 per every ₦20,000 withdrawn

The introduction of the new policy on ATM withdrawals is a significant development in the Nigerian banking sector. While it may seem like an additional burden on customers, the policy is intended to be mutually beneficial to both banks and customers. By encouraging banks to deploy more ATMs and ensuring that cash is always available to customers, the CBN hopes to improve the overall efficiency of ATM services in the country.