CBN Removes Charges on Key Banking Services in New Consumer-Focused Reforms
The Central Bank of Nigeria (CBN) has announced the removal of charges on several routine banking services as part of a sweeping reform aimed at reducing costs and promoting financial inclusion.
The new policy, contained in the revised Guide to Charges by Banks and Other Financial Institutions, is set to take effect from May 1, 2026. The updated framework replaces the 2020 version and reflects current market realities, particularly the growing adoption of digital payments and mobile banking.
Signed by Dr. Rita Sike, Director of the Financial Policy and Regulation Department, the revised guide introduces consumer-focused measures designed to improve transparency, enhance accountability, and ease the financial burden on bank customers.
Key Changes to Banking Charges
Under the new rules, several previously charged services will now be offered free of cost:
Account reactivation and closure:
Banks are no longer permitted to charge customers for reactivating dormant accounts, while account closure remains free.
Monthly statements:
Customers are entitled to receive their regular monthly account statements at no cost. However, requests for printed statements outside standard formats will attract a maximum fee of N20 per page.
Small inter-bank transfers:
To encourage digital transactions and micro-payments, transfers from N0 to N5,000 are now free. Transfers between N5,000 and N50,000 will attract a maximum fee of N10, while those above N50,000 are capped at N50.
ATM usage (own bank):
Withdrawals made from a customer’s own bank ATM, known as on-us transactions, are free. Non-cash transactions conducted at these ATMs, including intra-bank transfers, also attract no charges.
Virtual cards and PIN services:
Banks are now required to issue virtual cards at no cost, while PIN-related services such as resets and re-issuance will also be free for all customers.
Stronger Lending Transparency
Beyond transaction fees, the CBN has introduced stricter rules on loan disclosures by mandating the use of the Annual Percentage Rate (APR) system. Financial institutions must now present interest rates alongside all associated charges in a single, transparent APR figure.
Broader Impact of the Reforms
The apex bank noted that the revised framework expands the scope of regulated financial services while introducing structured caps on transaction charges across multiple banking channels. It also seeks to encourage innovation within the financial sector while ensuring banks operate within clearly defined limits.
According to the CBN, the reforms are expected to enhance transparency, improve consumer protection, and broaden access to financial services for Nigerians, particularly as digital banking continues to grow.
