In a bid to generate revenue for deposit money banks, the Central Bank of Nigeria (CBN) has introduced a maintenance fee on current account transactions.
This was revealed in a circular signed by Kevin Amugo, director, financial policy and regulation department of the CBN, dated January 20 and addressed to the commercial banks.
This comes few weeks after the central bank kicked off its Zero COT (commission on turnover) policy for all commercial banks within the country.
“The revised guide to bank charges (RGBC) which came into effect on April 1, 2013 provides for a phased elimination of commission on turnover (COT) charges in the Nigerian banking industry, under the guidelines, a zero COT regime was to come into effect from January 2016,” CBN said in the circular.
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The CBN said it noted that while COT was gradually phased out, some banks began charging maintenance fee in addition to COT.
The bank said it was also aware of the impact of dwindling oil prices, Treasury Single Account (TSA) and other market turbulence.
Hence, the CBN said “in the interest of stability, of the banking system, a negotiable current account maintenance fee not exceeding N1.00 per mille (1/N1,000) may be charged in respect to all customer induced debit transaction”.
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This means for every N100,000 leaving a current account in Nigeria, deposit money banks are permitted to take N100 for account maintenance.
This policy is coming less than two weeks after the CBN introduced stamp duties of N50 per transaction.
12 comments
The correct information is that all individual (receipt) transactions from #1000 and above attracts a postage stamp according to the stamp duty ACT.
Hence, emphasis here is PER RECIEPT and NOT per #1000!
The minimum stamp costs #50 and since most payments are routed through banks and for ease of collection,they are in the best position to collect this taxes.
Assuming Ireceived #20,000,000 in a single transfer #50 will be due but if I received same #20,000,000 @ 20 different times then 20*#50 would have deducted I.e #1000.
Yes that’s correct but this post is not necessarily about the N50 but about the N1.00 per mille
… Hence, the CBN said “in the interest of stability, of the banking system, a negotiable current account maintenance fee not exceeding N1.00 per mille (1/N1,000) may be charged in respect to all customer induced debit transaction”. This means for every N100,000 leaving a current account in Nigeria, deposit money banks are permitted to take N100 for account maintenance. This policy is coming less than two weeks after the CBN introduced stamp duties of N50 per transaction.
CBN should be careful with all these new measure in their quest to earn more money from the citizens. This could easily push market women and small traders back to keeping their cash at home and shops. The adverse effect would be resurgence of armed rubbery. With the current hardship in the country one would assume that the government would be introducing measures that calms the citizens not the opposite .
Your comment..100 pls
Actually this is another way of killing the masses. For God sake dont we know where and who stole our money? We have been subject to abject poverty and now government is killing us the more. They should recover the money quickly and leave our hard/lawfully earned money alone.
CBN IS ROBBING PETER TO PAY PAUL
While I appreciate the level of development of Internet banking in Nigeria as an encourager of increased population banking which in turn enable the banks reduced operational cost at the long run and increased profit.
CBN policy directing banks to charge maintenance fees in order for the banks to make more profit at the expense of depositors is going to limit the banking sector initiative to develop profitable products. This spoonfeeding by CBN by misapplyong his supervisor.
Our government are so shameless that it has gotten to the point that they will steal money directly from d masses to our face. May God bring his justice and vindicate us from the hands of the demonds of greed.
Our government are so shameless that it has gotten to the point that they will steal money directly from d masses to our face. May God bring his justice and vindicate us from the hands of the demonds of greed. Nigerians ain’t fools to b banking, I guess before banks came people had their money saved at home, so we will go back to doing just that, if one of our polititiane will hide money in a suckaway then we CAN.
Your comment..first bank just charged me #4900 as account maintenance charge. it is quite funny
Please what is the current daily/monthly deposit for individual account in nigerian banks as at 2017
I’ve learned to pray for citizen of this nation, anyone who is holding political position and lack fear of God shall surfer wrecklessly. They makes nothing to favor the masses except themselves. I studied the CBN guideline for banks. If anyone decides to stay away from banks, they shouldn’t be blamed. The nation that deprive us of many things, now turn around to force our hands and pay out of our hardwork earned money. That day is yet to come around where they will bleed for their wrongs.
ur right Mr obeta. u really made good emphasis. I wonder the kind of money CBN is looking from the hand of poor masses.