A shift in Nigeria’s banking space is quietly unfolding, and many customers may not have seen it coming.
Under the proposed CBN new bank charges, the cost of getting or replacing a debit or credit card is expected to increase.
The fee will move from N1,000 to N1,500, marking a noticeable jump. Meanwhile, a long-standing monthly card maintenance fee of N50 is set to be scrapped.
At the same time, the apex bank is pushing for a more digital and accessible payment system. Therefore, several small transactions will either become cheaper or completely free.
Transfers below N5,000 will attract no charge. In addition, transfers between N5,000 and N50,000 will cost just N10. Larger transactions above that range will carry a N50 fee.
According to the CBN, the changes are part of efforts to “promote a safe and sound financial system.” Moreover, the policy aims to reflect the ongoing evolution within Nigeria’s financial sector since the last update in 2020.
However, not all charges are being reduced. Foreign currency card users will still be required to pay an annual fee of $10. Meanwhile, new ATM withdrawal charges have also been outlined. Customers may be charged N100 for every N20,000 withdrawn from on-site machines.
Furthermore, off-site withdrawals could attract an extra N500, which must be disclosed before completion.
In addition, the burden of card payment charges is being shifted. Customers will no longer pay when using cards at shops or businesses. Instead, merchants will handle these costs through a service charge capped at 0.5 percent.
Virtual debit cards, however, will remain free.
The draft also introduces a N150 fee for processing e-dividend mandates. This service allows investors to receive payments directly into their accounts.
Meanwhile, the rules will apply across banks, fintech firms, and mobile money operators nationwide.
Across Africa, similar reforms are being introduced. Regulators are working to lower digital transaction costs and improve financial access.
