Nigerians To Pay Up To N500 Extra For ATM Withdrawals As Banks Implement CBN Directive
This follows the Central Bank of Nigeria’s (CBN) revised policy, effective from 1 March 2025.
Some commercial banks have announced new Automated Teller Machine (ATM) transaction fees, including an additional surcharge of up to N500 per N20,000 withdrawal at off-site ATMs.
This follows the Central Bank of Nigeria’s (CBN) revised policy, effective from 1 March 2025.
For instance, the Guaranty Trust Bank said under the new structure, withdrawals at GTBank ATMs would remain free.
However, using ATMs of other banks will now attract charges.
The bank stated, “Withdrawal at ATMs in the bank’s branch: N100 per N20,000 withdrawal. Withdrawal at ATMs on a standalone basis: A charge of N100 plus a surcharge of not more than N500 per N20,000 withdrawal.”
This adjustment aligns with the CBN directive published on 11 February 2025, which introduced new fees for all banks.
The CBN circular, signed by Acting Director of Financial Policy and Regulation, John S. Onojah, on February 10th explained that the changes are meant to “enhance efficiency and increase the deployment of ATMs across the country.”
The controversial aspect of the new fees is the additional surcharge of up to N500 for withdrawals at standalone ATMs, which will significantly increase costs for Nigerians who rely on off-site machines.
The CBN circular states, “The surcharge, which is an income of the ATM deployer/acquirer, shall be disclosed at the point of withdrawal to the consumer.”
Additionally, international withdrawals on debit or credit cards will be charged based on the fees set by the international acquirer.
Customers will no longer benefit from the previous policy that allowed three free withdrawals per month at other banks’ ATMs.
The CBN circular confirmed, “The three free monthly withdrawals allowed for Remote-On-Us (other bank’s customers/Not-On-Us consumers) in Nigeria under Section 10.6.2 of the Guide shall no longer apply.”
The new charges have sparked concerns among bank customers, as accessing cash outside bank branches will now cost significantly more.
Many Nigerians, especially those in areas with limited banking infrastructure, depend on standalone ATMs, making the additional surcharge a heavy financial burden.
Industry experts argue that while the policy aims to encourage more ATM deployment, it could end up making cash withdrawals more expensive for ordinary Nigerians.
With a struggling economy and rising inflation, consumers may be forced to reconsider their reliance on cash transactions.
Guaranty Trust Bank urged customers to refer to the attached circular for more details and assured them of continued service. “Thank you for choosing Guaranty Trust Bank Limited,” the notice concluded.
As the implementation date approaches, Nigerians are left grappling with the reality of higher transaction costs, questioning whether the policy truly serves their interests.
