JUST-IN: CBN Ends Free ATM Withdrawals, Introduces New Charges
The Central Bank of Nigeria (CBN) has announced the review of transaction fees for Automated Teller Machines (ATMs) across the country, which will take effect from March 1, 2025. The revision ends the previous policy of offering three free monthly withdrawals on ATMs belonging to other banks.
This update was communicated in a circular signed by the Acting Director of the Financial Policy and Regulation Department, John Onojah, and applies to all banks and financial institutions operating in Nigeria.
The CBN explained that the decision to revise the ATM fees was due to the rising operational costs within the banking sector and the need to improve ATM service efficiency. The circular stated that moving forward, any withdrawal made on an ATM not owned by the customer’s bank would attract a fee, eliminating the previous benefit of three free withdrawals each month on ATMs of other banks.
The key changes under the new review are as follows:
- On-Us Transactions (same bank’s ATM): Customers withdrawing from their own bank’s ATM will continue to enjoy free withdrawals.
- On-Site ATMs (within bank premises): A fee of N100 per N20,000 withdrawal will be charged.
- Off-Site ATMs (outside bank premises): A fee of N100 per N20,000 withdrawal, with an additional surcharge of up to N500, will apply.
- International Withdrawals: Charges will be based on the exact amount imposed by the international acquirer.
CBN believes the adjustments will help increase ATM deployment across Nigeria while ensuring financial institutions apply appropriate charges for the service.
