Reduction Of Charges Of Bank Transactions On Atms, Mobile Apps

By - - [ Business ]

Recently, we heard the trending news that CBN had instructed that all banks should reduce the charges they deduct when customers make transactions through the bank app on phones or when they use the ATM. Banks charge different amount, some bank's charge the rate of #60 while some bank's charge #52, and some deduct #50. These terms are applicable only when you transfer money to an account that is from another bank, that is, a certain amount of money will be deducted when you transfer money to another bank.

Not only for transactions, banks also deduct a certain amount of money for some services such as card maintenance, etc. I personally find this one quite funny as I can't explain what they are maintaining when I am actually the one keeping the card safe. Not only that, the money they deduct is about #120. This is way too much for such an unreasonable reason. It is an actual inconvenience for customers as this charge no matter how small or big they may be can actually cause the cash left over in the account to be somewhat useless. Charges leave money in a "demolished" way so to speak. Take for example, a customer has #1000 in his account and he happens to be broke at that moment so he heads for the bank but on his way, he receives an alert stating that he had just been devoted #120 for card maintenance, is the money not "demolished"?

Now, the Central Bank of Nigeria (CBN), must have noticed the inconvenient these Unnecessary charges causes to customers so December, 2019, the Central Bank of Nigeria declared that all Banks should reduce the charges they deduct and some banks actually obeyed the order; a bank that would normally charge #52 on a normal day reduced it to just #10. It was exactly the break people needed.
The surprising part is that some banks have refused to adhere to the instruction.

A TV station conducted an interview on the streets of Lagos and many people voiced out their opinions; a woman said the bank she uses has reduced the amount they deduct as charges but it did not reflect on her own account, she explained further that she has made three transfers to different banks that day and they deducted #60 three times. She showed her discomfort on the fact that people who use the same bank are already enjoying the new trend of reduction of bank charges on transactions.

Another individual complained about the issue of alerts. He explained that his bank would deduct those "unnecessary " charges and yet, they would not even notify him. He said he hardly received any alert when charges were deducted from his account, thereby causing him to think he has a sum of money, but unknown to him, his bank had removed charges and he did not know about it.

Lastly, a woman lamented that her own bank did not even obey CBN's instruction at all. She said "as a matter of fact, my bank increased the charges they deducted" she asked if CBN was not going to do anything about it.

The CENTRAL BANK OF NIGERIA stated in her message to the banks that they should all cut down on their charges, without exempting any bank, it's just unclear why some banks will not adhere to it.

The people of Nigeria hope that CBN would reaffirm its laws and that every disobedient  bank would obey and reduce their charges too. Some elite are of the opinion that the banks are actually having a kind of issue with CBN and that it explains why they have not yet reduced their charges too.