CBN suspends processing fees on large deposits

The Central Bank of Nigeria has ordered all commercial banks and non-bank financial institutions to stop charging processing fees on large cash deposits and other transactions right away.

The CBN’s order was in a circular issued on Monday and signed by the acting director of banking supervision, Adetona S. Adedeji.

The apex bank had earlier imposed processing fees on deposits above N500,000 for individual accounts and N3,000,000 for corporate accounts in a reference under the “Guide to Charges by Banks, Other Financial Institutions, and Non-Bank Financial Institutions” issued on December 20, 2019 (FPR/DIR/GEN/CIR/07/042).

Before the change, these deposits had processing fees of 2% and 3%, respectively.

CBN has, however, paused these charges with immediate effect and said, “The suspension will last until the 30th of April, 2024.”

The apex bank also said that it is compulsory for all financial institutions to follow the order and not charge any fee on cash deposits that are equal to or more than these limits.