The Central Bank of Nigeria (CBN) on Monday announced the suspension of processing fees on large cash deposits and withdrawals, News About Nigeria reports.
This was contained in a circular released by the CBN’s acting director of supervision, Dr. Adetona Adedeji.
The Acting Director of Supervision of Apex Bank explained that the two percent and three percent charges on all cash deposits above the stipulated deposit thresholds have been suspended.
According to CBN, the suspension of the charges on large deposits will remain in effect until April 30, 2024.
In the circular released, the CBN charged all financial institutions regulated by the Apex Bank to accept all cash deposits without charges with immediate effect.
The circular partly reads, “Consequently, all financial institutions regulated by the CBN should accept all cash deposits from the public without any charges going forward. Please be guided accordingly.”
The Central Bank further warned that financial institutions found wanting would be penalised for breaking the codes and conduct of the Apex bank.
News About Nigeria reports that the charges on large deposits started in 2019 when the CBN declared that it would begin to levy bank customers making cash deposits and withdrawals as part of its efforts to reduce cash in use.
According to the CBN, in a circular issued on December 20, 2019, the charges affect deposits that are above N500,000 for individual accounts and N3,000,000 for corporate accounts.
The CBN had also explained that the deposit money banks would charge five percent processing fees for withdrawals from a corporate account while three percent processing fees would be charged for deposits of amounts above N3,000,00.
