The Central Bank of Nigeria (CBN) has scrapped the three free monthly ATM withdrawals previously allowed for customers using other banks’ ATMs.
According to a circular dated February 10, 2025, the new ATM withdrawal charges will take effect from March 1, 2025 and will affect all banks and financial institutions in the country.
Key Changes in ATM Charges
🔹 No more free withdrawals – Customers will now pay for every withdrawal made from another bank’s ATM.
🔹 New withdrawal fees:
- Bank branch ATMs: N100 per N20,000 withdrawal.
- Off-site ATMs: N100 per N20,000 withdrawal plus a surcharge of up to N500.
- International ATM withdrawals: Charged at the exact rate set by the international acquirer.
The CBN stated that these changes are meant to accelerate the deployment of ATMs nationwide and ensure fair pricing for the service.
CBN’s Justification
The Acting Director of the Financial Policy and Regulation Department, John Onojah, explained that the policy review was due to rising operational costs and the need to improve ATM efficiency.
“The three free monthly withdrawals allowed for Remote-On-Us consumers in Nigeria under Section 10.6.2 of the Guide shall no longer apply.”
The apex bank also emphasized its commitment to ensuring banks comply with cash availability regulations, having recently sanctioned nine Deposit Money Banks a total of N1.35bn for failing to dispense cash at ATMs during the festive season.
Impact on Customers
With the new directive in place, customers who frequently withdraw cash from other banks’ ATMs will incur additional costs. The surcharge on off-site ATMs could also push more people towards digital banking alternatives, such as mobile apps and online transfers.
As the March 1 deadline approaches, customers may need to adjust their banking habits to avoid extra charges.