The Central Bank of Nigeria (CBN) has announced a revision of automated teller machine (ATM) transaction fees, with the new charges set to take effect from March 1, 2025.
In a circular signed by John Onojah, acting director of the financial policy and regulation department, the apex bank said the review aligns with Section 10.7 of the CBN Guide to Charges by Banks, Other Financial and Non-Bank Financial Institutions (2020).
“In response to rising costs and the need to improve efficiency of Automated Teller Machine (ATM) services in the banking industry, the Central Bank of Nigeria (CBN) has reviewed the ATM transaction fees prescribed in Section 10.7 of the extant CBN Guide to Charges by Banks, Other Financial and Non-Bank Financial Institutions, 2020,” the circular stated.
The CBN explained that the changes aim to address increasing operational costs and enhance the efficiency of ATM services. It noted that the last review was in 2019 when withdrawal fees were reduced from N65 to N35.
Under the revised policy, customers withdrawing from their bank’s ATMs (on-us transactions) will continue to enjoy free withdrawals.
However, a N100 fee per N20,000 withdrawal will apply at on-site ATMs—those located within bank branches.
For withdrawals at ATMs of other banks (not-on-us transactions), a N100 fee plus a surcharge of up to N450 per N20,000 withdrawal will be charged at off-site locations.
The regulator clarified that the surcharge is the income of the “ATM deployer/acquirer and must be disclosed to consumers at the point of withdrawal.”
For international withdrawals using debit or credit cards, banks and financial institutions are now permitted to apply “a cost-recovery charge equivalent to the exact amount charged by the international acquirer.”
Additionally, the CBN announced that the three free monthly withdrawals previously allowed for Remote-On-Us transactions—where customers withdraw from other banks’ ATMs—will no longer apply.
“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,” the CBN stated.
The apex bank urged all financial institutions to comply with the new directives ahead of the implementation date.
