Bank customers in Nigeria strongly oppose the Central Bank of Nigeria’s (CBN) recent increase in Automated Teller Machine (ATM) withdrawal charges. Many believe it contradicts the bank’s financial inclusion and cashless policies while adding more financial burdens on struggling citizens.
Customers worry the new charges will discourage digital transactions and push more people toward cash-based payments. Some describe the policy as exploitative, especially for low-income earners and small business owners.
Public Reactions
Catherine Itoha, a civil servant, said the charges would hurt financial inclusion, particularly among market traders. “Is this how they want to encourage the cashless policy? The tariff is too high,” she said. She shared how she paid N4,000 to withdraw N90,000 at a Point of Sale (PoS) terminal.
Davis Agede, a former banker, argued the policy contradicts earlier efforts to promote digital transactions. He added that PoS operators may raise their charges, further burdening customers. Trader Hajia Kudirat Aminu also criticized the decision. She said increasing bank charges forced her to keep cash at home instead of using a bank account.
Another customer, Kayode Are, complained about the continuous rise in financial charges. “Does the government want to kill us with taxes? How will the poor masses survive?” he asked.
Catherine Nnaji, a student, said the higher withdrawal fees would increase financial strain. She noted that many students rely on ATMs outside their bank network due to limited availability.
CBN’s New ATM Charges
The CBN, in a circular released on February 10, 2025, instructed all banks to implement the new charges starting March 1, 2025. According to the apex bank:
- Withdrawals from a customer’s own bank ATM (On-Us transactions) remain free.
- Withdrawals from another bank’s ATM (Not-on-Us transactions) will incur N100 per N20,000 withdrawal at on-site ATMs.
- Withdrawals from off-site ATMs will have an extra surcharge of up to N500 per N20,000 withdrawal.
The CBN said the changes reflect rising financial service costs and the need for improved ATM operations. However, many Nigerians question if the policy supports financial inclusion.
As the debate continues, concerns grow over how the charges will affect banking habits and digital payment adoption in Nigeria.
