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BREAKING: CBN Slashes Electronic Transfer, ATM Withdrawal Charges

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CBN Governor, Godwin Emefiele

The Central Bank of Nigeria (CBN) has reviewed downward electronic transfer and ATM fees as well as card maintenance fees.

The new charges were contained in the latest Guide to Charges by Banks and Other Financial Institutions just released by the CBN

According to the CBN, bank customers will now pay N10 for electronic transfers below N5,000, and N25 for electronic transfer between N5,000 and N50,000. Only electronic transfer above N50,000 will attract N50 charge.

Previously, bank customers pay N50 charge for electronic transfers below N500,000.

Further, the CBN in the new Guide to Bank Charges, slashed charges for cash withdrawal via Other bank’s ATM to “maximum of N35 after the third withdrawal within the same month” from “N65 after the third withdrawal within the same month”.

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The CBN also removed Card Maintenance Fee (CAMF) on all cards linked to current accounts, a maximum of one Naira per mille for customer induced debit transactions to third parties and transfers or lodgments to the customers’ account in other bank on current accounts only,

Commenting on the new charges, Director, Corporate Communications, CBN, Isaac Okorafor explained that the current NIP charges apply to use of Unstructured Supplementary Service Data (USSD), purchase with cash-back will attract a charge of N100 per N20,000 subject to cumulative N60,000 daily withdrawal. Also, for cards linked to savings account, a maintenance fee has been reduced to a maximum of N50 per quarter from N50 per month amounting to only N200 per annum instead of N600.

Furthermore, he hinted that there will be no more charges for reactivation or closure of accounts such as savings, current and domiciliary accounts while status enquiry at the request of the customer (like confirmation letter, letter of non-indebtedness and reference letter) will now attract a fee of N500 per request.

On Current Account Maintenance Fee (CAMF), the Guide expressly stated that this would be applicable only to current accounts in respect of customer-induced debit transactions to third parties and debit transfers/lodgments to the customer’s account in another bank. It emphasized that CAMF is not applicable to Savings Accounts.

According the Director, the CBN carried out the review of the Guide, which also prescribes charges permissible for Other Financial Institutions and non-bank financial institutions, in order to align with market developments.

To guard against excess, unapproved or arbitrary charges by banks and other financial institutions, the Guide stipulates a penalty of N2,000,000 per infraction or as may be determined by the CBN from time to time for financial institutions that breach any provision of the guide. The Guide also emphasized that failure by any bank to comply with CBN’s directive in respect of any infraction shall attract a further penalty of N2,000,000 daily until the directive is complied with or as may be determined by the CBN from time to time.

Consequently, the CBN, directed banks to log every complaint received from their customers into the Consumer Complaints Management System (CCMS) in addition to generating a unique reference code for each complaint lodged, which must be given to the customer. Failure to log and provide the code to the customer, it added, amounts to a breach and is sanctionable with a penalty of N1,000,000 per breach.

The charges prescribed in the Guide were arrived at after extensive consultations with stakeholders and is expected to enhance flexibility, transparency and competition in the Nigerian banking industry.

This Guide, which replaces the Guide to Charges by Banks and Other Financial Institutions issued in 2017, takes effect from January 1, 2020, and may be reviewed from time to time to reflect changes in the business environment.

The CBN therefore urged financial services providers and their customers alike to acquaint themselves with the provisions of the Guide and be properly guided accordingly.

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3 Comments

3 Comments

  1. Kelvin Agbogidi

    December 24, 2019 at 5:23 am

    This is a good development if only the banks will adhere to them promptly

  2. Okoye malachy

    December 22, 2019 at 4:24 pm

    This is good,i commend d cbn governor for this great decision.
    More of it sir.

  3. Azeez Moshood

    December 22, 2019 at 3:31 pm

    This is commendable.

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Business

Peace Mass Transit Launches 50 Brand New Buses [PHOTOS]

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Peace Mass Transit (PMT) Limited, the leading mini-bus transport company in the country, has readied a total of 50 brand new buses for injection into its fleet.

The buses are all products of newly established PMT Vehicle Assembly Plant, located within the Emene Industrial Layout headquarters of the company.

PMT Executive Director in charge of operations, Enete Ifeanyi Henry Clinton disclosed that the new buses would be assigned to drivers and has already being deployed to all the PMT depots across the country.

Peace Mass Transit has an active fleet of 4,000 buses with at least 2,000 on the road daily. It regularly freshens up the fleet to meet customer expectations and also maintain its market leadership.

PMT Founder and Chief Executive Officer, Chief Samuel Maduka Onyishi, maintains he runs the company as a “ministry” and not strictly as a business, and would, always do what it takes to keep the company as an industry leader, at all times.

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“The brand new buses we are injecting cost almost N 17 million per unit, but I have a pact with both God and our huge clientele to offer the best possible services at all, times,” he stated after inspecting the newly assembled buses on Monday.

Customers are encouraged to book online through www.pmt.ng, or visit our website –peacegroup.ng

Chief Onyishi, Member of the Order of the Niger (MON) expressed gratitude to God and also to Nigerians who have trusted the brand (PMT) for over 20years. He urged them to keep their faith in the company and promised to always deliver beyond their expectations.

“Our customers deserve even more and no less,” he added. “We will never take their patronage for granted because they have brought us this far.”

He reiterated that the introduction of the new buses was a “strategic fleet rejig” and in no way signified or suggested older vehicles had any maintenance issues or were about to be discarded.

“Our maintenance culture is top-notch and the team is manned by technicians and engineers some of whom were trained abroad.

All PMT vehicle plying the highway, are regularly checked for maintenance, to avoid breakdown. All our vehicles run on strong quality tires which are replaced upon attainment of a certain mileage.’’

He reiterated that the introduction of the new buses was a “strategic fleet rejig” and in no way signified or suggested older vehicles had any maintenance issues or were about to be discarded the chairman concluded.

Special, distinguishing features of the new buses include, but not limited to EBS/ABS brake system combined, digital dashboard, factory-fitted speed limiter, on-board TV, and DVC player for customers’ non-stop pleasure.

According to the Executive Director, Ifeanyi, ‘’Multiple charging points and luggage controls are being provided, with all the buses fully air-conditioned, which includes protective seat belts for all passengers.

Free Wi-Fi services for passengers are still in the works.

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Business

‘I Didn’t Inherit Any Money From My Father, I Built Everything From Scratch’ — Dangote

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dangote

Africa’s richest man, Aliko Dangote has revealed that he didn’t inherit any money from his father.

He stated that he built his empire from nothing.

It is widely believed that the Billionaire inherited his wealth from his late father, Mohammed Dangote.

Speaking in a new interview, Dangote however confirmed that his father who died when he was only 8 years old was actually wealthy but he (Dangote) gave out the things that his late father willed to him to charity, and started his own life.

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Aliko Dangote is now valued at $14bn by Forbes and this makes him the 95th richest person in the world.

He has the largest cement company in Africa and his refinery in Ibeju-Lekki when completed is set to be one of the largest in the world.

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Dangote Shuns Innoson Motors, Orders 10,000 Trucks From Indonesia

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dangote

Dangote Group has concluded plans to purchase 10,000 light pickup trucks.

But the company appears to have shunned Nigerian carmaker, Innoson Vehicle Manufacturing, IVM, as the trucks are coming in from Indonesia.

Putu Juli Ardika, the Indonesian Director of Maritime Industry, Transportation Equipment and Defense Equipment, said the vehicles would be purchased by Aliko Dangote through his company, Dangote Group.

Ardika explained that the trucks would be imported into Nigeria to serve as means of transportation to rural communities.

He said the vehicles would be used by farmers and others in Nigeria’s agricultural value chain, to transport water, cassava, and seed processors.

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“Dangote’s team will check three units as a sample to be brought to Africa at the end of January.

“The trucks are set to be exported over five years, with 1,000 units to be exported this year and next year,” Putu said.

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