The Central Bank of Nigeria (CBN) has removed the three free monthly ATM withdrawals previously allowed for customers using other banks’ machines. The policy change, announced in a circular dated February 10, is aimed at addressing rising costs and improving ATM service efficiency.
Under the new directive, customers withdrawing from their own bank’s ATM will continue to enjoy free transactions. However, those using another bank’s ATM will now pay ₦100 per ₦20,000 withdrawal if the ATM is located within bank premises. For withdrawals at off-site ATMs, an additional surcharge of up to ₦500 may apply.
The CBN stated that the surcharge is an income for the ATM deployer and must be disclosed at the point of withdrawal. International ATM withdrawals will be charged at rates set by the international service provider.
The policy review is expected to encourage more ATM deployments and ensure banks apply appropriate charges for the service.