The Central Bank of Nigeria (CBN) has warned commercial banks sternly against forcing customers to withdraw less than ₦20,000 per transaction from Automated Teller Machines (ATMs) despite sufficient account balances.
In a Q&A explainer released following the apex bank’s recent review of ATM withdrawal fees, the CBN emphasized that customers have the right to withdraw up to ₦20,000 per transaction on ATMs operated by banks other than their own.
Naijaonpoint reports that the apex bank warned that banks flouting this rule would face sanctions.
The CBN stated, “Any bank that compels a customer with sufficient funds in their account to withdraw less than ₦20,000 per transaction, against their desire for a higher sum, would be contravening this regulation and will be sanctioned appropriately.”
Customers Urged To Report Violations
The CBN encouraged customers to file complaints if they encounter unnecessary withdrawal limits imposed by banks.
“Consumers denied the right to withdraw up to ₦20,000 per transaction are encouraged to file a complaint with the CBN using [email protected],” the statement read.
The apex bank also clarified that banks are prohibited from charging above the capped ATM fees but may choose to charge less based on their business models.
“The charges and surcharges are capped, meaning banks and other financial institutions cannot charge more than the fees stated in the circular. However, a bank can charge a lower amount depending on its cost structure and business development drive,” the CBN noted.
The CBN advised customers to consider using alternative payment methods such as mobile banking apps, POS terminals, and other digital channels to minimize ATM withdrawal fees.
Additionally, it urged customers to withdraw from their own bank’s ATMs to avoid extra charges imposed by third-party ATMs.