ICYMI: Banks resume charges on cash deposits above N500k

The Central Bank of Nigeria (CBN) has reintroduced fees for deposits exceeding N500,000 for individuals and corporate account holders.

The development is coming more than four months after the apex bank suspended the processing fees on cash deposits above N500,000 until April 30, 2024.

In a circular to customers, First Bank Nigeria (FBN) said the new directive took effect May 1.

While 2 percent is charged on deposits above N500,000 for individuals, 3 percent is charged for all deposits above N3 million for corporate account holders.

“We write to inform you that, effective 1 May 2024, our processing fees structure on cash deposits has been adjusted in accordance with regulatory requirements,” FBN said.

“As a result, the following rates will apply: 2% processing fee on deposits above N500,000 for individual accounts. 3% processing fee on deposits above N3,000,000 for corporate accounts.”

Meanwhile, this is not the first time CBN reintroduced this policy.

On September 18, 2019, the financial regulator directed a charge of 3 percent for processing fees for withdrawals and 2 percent for deposits of amounts above N500,000 for individual accounts to promote cashless transactions.

The CBN also directed banks to charge 5 percent processing fees for withdrawals and 3 percent for deposits of amounts above N3 million for corporate account holders.