The House of Representatives has called for an immediate suspension of the new ATM transaction charges introduced by the Central Bank of Nigeria (CBN). Lawmakers raised concerns over the decision to increase ATM withdrawal fees and discontinue free withdrawals for customers using other banks’ ATMs.
The House noted that the new policy places an extra financial burden on Nigerians, who are already struggling with economic difficulties. Lawmakers pointed out that banks continue to make substantial profits, yet customers are being asked to pay more without any significant improvements in banking services or infrastructure.
During the plenary session on Tuesday, Marcus Onobun presented a motion opposing the CBN’s new policy. He explained that the revised guidelines were part of the updated Section 10.7 of the CBN Guide to Charges by banks and other financial institutions. According to Onobun, the last review of ATM fees in 2019 had reduced charges from N65 to N35 per transaction.
Under the new policy, customers withdrawing cash from their bank’s ATMs will still enjoy free transactions. However, those using ATMs of other banks within bank premises will now be charged N100 per N20,000 withdrawal. Additionally, customers using ATMs in public places such as malls and markets will be charged N100 plus an extra surcharge of N500.
The House noted that these additional charges could negatively impact financial inclusion, particularly for low-income Nigerians who rely on banking services for their daily transactions. Lawmakers argued that discouraging ATM use could push people away from the formal banking system, contradicting the CBN’s own financial inclusion goals.
In its resolution, the House urged the CBN to halt the implementation of the new policy until further discussions take place with relevant committees on banking and finance. Lawmakers expressed concern that Nigerians are already facing severe economic pressures, including rising inflation, high fuel prices, electricity tariff hikes, and various other banking charges.
The House further stated that one of the government’s responsibilities is to protect citizens from unfair financial practices that could worsen their economic struggles.
