The Central Bank of Nigeria (CBN) has announced a review of ATM transaction fees, with the changes set to take effect on March 1, 2025. According to a circular signed by John Onojah, Acting Director of the Financial Policy and Regulation Department, the adjustment is aimed at addressing rising operational costs while improving the efficiency of automated teller machine services in the country.
This marks the first review of ATM charges since 2019 when the withdrawal fee was reduced from N65 to N35. While the latest changes will increase costs for some ATM transactions, the CBN stated that the review aligns with Section 10.7 of the CBN Guide to Charges by Banks, Other Financial and Non-Bank Financial Institutions (2020). The bank emphasized that the changes are expected to accelerate the deployment of ATMs and ensure fair charges for consumers.
Under the revised policy, customers will continue to enjoy free withdrawals at their own bank’s ATMs. However, for on-site withdrawals—those conducted at ATMs located at bank branches—a N100 fee will be applied for every N20,000 withdrawn. For withdrawals conducted at other banks’ ATMs, a N100 fee will also apply, along with an additional surcharge of up to N450 for every N20,000 withdrawn. The CBN clarified that the surcharge will be the income of the ATM deployer or acquirer and must be disclosed to customers at the point of withdrawal.
The new policy will also affect international ATM transactions. The CBN announced that banks and financial institutions are now permitted to apply a cost-recovery charge equivalent to the exact amount charged by the international acquirer for withdrawals conducted with debit or credit cards outside the country.
Additionally, the CBN said the three free monthly withdrawals previously allowed for Remote-On-Us transactions—withdrawals from other banks’ ATMs—will no longer be available.
In urging all financial institutions to comply with the new guidelines, the CBN highlighted the importance of transparency in the implementation of these changes to ensure consumers are adequately informed about the new charges.