CBN raises ATM card fee to N1,500, scraps maintenance charges

The Central Bank of Nigeria, CBN, has raised the cost of issuing and replacing Automated Teller Machine, ATM, debit and credit cards by 50 per cent, increasing the fee from N1,000 to N1,500.

At the same time, the apex bank has eliminated the monthly maintenance charge of N50 on naira-denominated debit and credit cards, which previously included 7.5 per cent Value Added Tax.

However, it stated that holders of foreign currency-denominated cards will continue to pay an annual maintenance fee of $10.

The changes were outlined in the CBN’s exposure draft of the “Guide to Charges by Banks and Other Financial Institutions, OFIs, in Nigeria 2026.”

The bank also reiterated that charges associated with Point of Sale, PoS, transactions would be borne by merchants, not customers.

According to the document, “ATM card issuance/replacement charges for regular/basic debit/credit card is N1,500. Charges for Premium Debit/Credit/Hybrid Card are negotiable. Virtual cards at no charge.”

It further stated that, “Merchant Service Charge (MSC) (charge to be borne by the merchant). There shall be no charge to the cardholder paying the merchant.

“All card transactions done by cardholders at a merchant location shall be free of charge to the cardholder, i.e. the MSC shall be borne by the merchant.

“The MSC payable by a merchant (0.5 per cent), subject to a cap of N10,000, shall be the same irrespective of the technology or payment methods.”

In a circular addressed to banks, other financial institutions, and the public, and signed by the Director of the Financial Policy and Regulation Department, Rita Sike, the apex bank said the revised guide was introduced to strengthen the financial system and promote innovation.

“This reviewed Guide provides for an increased range of financial services, encourages development of innovative products, strengthens responsibility for oversight and accountability and promotes financial inclusion through lower tariffs for micropayments/transactions.

“Furthermore, the Guide reviewed some charges for banking services to encourage increased adoption of electronic channels and accommodate new industry participants since the issuance of the 2020 Guide.”