Suspend charges on deposits till September, CBN directs banks

The Central Bank of Nigeria (CBN) has instructed deposit money banks and other financial institutions to halt the processing fees on deposits until September 30, 2024.

In a circular, the apex bank has directed financial institutions to halt the processing fees charged on cash deposits exceeding N500,000 for individuals and N3,000,000 for corporate entities.

The circular to deposit money banks dated May 6, 2024 was signed by the apex bank’s Acting Director of Banking Supervision, Adetona Adedeji.

The new directive was issued concurrently with the CBN’s instruction to deposit money banks to begin levying a 0.5% cybersecurity charge on transactions, a move that has ignited widespread indignation.

The circular read, “Please refer to our letter dated December 11, 2023, referenced BSD/DIR/PUB/LAB/016/023 on the above subject, suspending processing charges imposed on cash deposits above N500,000 for Individuals and N3,000,000 for Corporates as contained in the ‘Guide to Charges by Banks, Other Financial Institutions and Non-Bank Financial Institutions’ issued on December 20, 2019,” CBN said.

“The Central Bank of Nigeria hereby extends the suspension of the processing fees of 2% and 3% previously charged on all cash deposits above these thresholds until September 30, 2024.

“Consequently, all financial institutions regulated by the CBN should continue to accept all cash deposits from the public without any charges until September 30, 2024,” the circular read.