CBN imposes Charges On Deposit, Withdrawal

The Central Bank of Nigeria  has begun plans to implement it’s cashless policy in March 2020.

This new policy on cash-based transactions stipulates a cash handling charge on withdrawals and deposits.

In a circular to all Deposits money banks (DMBs)the director, payment system management, said henceforth, 3 percent processing fee for withdrawals and 2 processing fee for deposits above N500,000 for individuals .

While corporate bodies will attract a 5 percent processing fees for withdrawals and a 3 processing fee for lodgement of account above N3,000,000 . According to the circular, the charges is expected to take effect from today (Wednesday).

This new policy is aimed at reducing the amount of physical cash in circulation as well as encourage electronic based transactions.

The statement, however, disclosed that the charge on deposits would apply in Lagos, Ogun, Kano, Abia, Anambra, and Rivers States as well as the Federal Capital Territory.

To further promote the cashless policy and enhance the collection of applicable government revenues, the CBN also announced a review of the process for merchant settlement.