CBN asks banks to suspend charges on deposit

The Central Bank of Nigeria (CBN) has ordered commercial banks to suspend charges on cash deposits until September. The bank gave the directive in a circular signed by Adetona Adedeji, its Director of Banking Supervision. This followed protest by customers of some Deposit Money Banks who kicked against collection of processing fees for cash deposits, […]

The Central Bank of Nigeria (CBN) has ordered commercial banks to suspend charges on cash deposits until September.

The bank gave the directive in a circular signed by Adetona Adedeji, its Director of Banking Supervision.

This followed protest by customers of some Deposit Money Banks who kicked against collection of processing fees for cash deposits, which returned on May 1.

Two per cent was to be charged on deposits above N500,000 for individuals, while corporate account holders were to be charged two per cent on deposits above N3 million.

But in its circular, the apex bank directed that the charges be suspended for the next three months.

“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.”

“The Central Bank of Nigeria (CBN) 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.