THE Central Bank of Nigeria (CBN) has advised banks to stop charging cash deposits until September 30, 2024.
The apex bank stated this in a circular dated May 6, 2024, signed by Adetona Adedeji, Director of Banking Supervision.
Customers of various Deposit Money Banks expressed concern that the banks had began collecting processing fees for cash deposits since May 1.
This was seen in an email forwarded by one of the bank’s customers.
According to the bank’s move, individuals would be taxed 2% on deposits over N500,000, while corporate account holders would be charged 2% on deposits over N3 million.
However, according to the most recent circular to financial and non-financial institutions, the CBN has suspended processing fees.
The circular read, “Please refer to our letter dated December 11, 2023, referenced BSD/DIR/PUB/LAB/016/023 on the above subject, suspending processing charges imposed on cash deposits above N500,000 for Individuals and N3,000,000 for Corporates as contained in the ‘Guide to Charges by Banks, Other Financial Institutions and Non-Bank Financial Institutions’ issued on December 20, 2019,” CBN said.
“The Central Bank of Nigeria hereby extends the suspension of the processing fees of 2% and 3% previously charged on all cash deposits above these thresholds until September 30, 2024.”
The apex bank directed financial institutions to continue to accept all cash deposits from the public without any charges till the end of the third quarter.