In a move towards addressing rising operational costs and enhancing efficiency in the banking sector, the Central Bank of Nigeria (CBN) has announced a review of the transaction fees for automated teller machines (ATMs).
The move has, however, been seen as an opportunity for operators of Point of Sale (PoS) machines to hike their charges.
In a circular signed by John Onojah, acting Director of the Financial Policy and Regulation Department, the CBN said the revised charges will take effect from March 1.
This is a review of the ATM transaction fees prescribed in Section 10.7 of the extant CBN Guide to Charges by Banks, Other Financial and Non-Bank Financial Institutions, 2020.
The circular stated that customers withdrawing at their bank’s ATMs will attract no charge while on-site ATMs, customers from another financial institution in Nigeria will pay a charge of N100 plus, a surcharge of not more than N500 per N20,000 withdrawal.
The surcharge, which is the income of the ATM deployer/ acquirer, shall be disclosed at the point of withdrawal to the consumer.
For international withdrawals (per transaction) whether debit/ credit card, the cost recovery will be exact charge by the international acquirer.
“This review is expected to accelerate the deployment of ATMs and ensure that appropriate charges are applied by financial institutions to consumers of the service”, the circular confirmed.
Speaking with Daily Independent on Tuesday, Dr. Wale Imole, the Convener of National Problems and Solutions, a non-government organisation, said the review would be an opportunity for PoS operators, who act as an important element in agents’ banking to hike their charges.
He said, “Hearing that the CBN has approved the review is a call to duty by operators of PoS machines to increase their charges. Before now, Nigerians have been struggling with complying with indiscriminate high charges by these people.
“Increasing ATM transaction charges of those who use different bank ATMs aside their banks is an invitation to obnoxious charges by PoS operators. It was N35 for three transactions before this review”.
He called on the CBN to ensure that these PoS operators do not take advantage of the review to unleash high charges on Nigerians.
Another contributor, Mrs. Chikodi Ugochukwu, a trader, said the review should encourage effective service delivery by the banks.
She said, “If this review will bring more efficient transactions to the services banks render through the ATMs, I will be glad with it. I hope this will bring an end to failed transactions and unnecessary debits”.
By Bamidele Ogunwusi @TheINDEPENDENT
