The Central Bank of Nigeria (CBN) has issued a directive to banks to cease charging processing fees on cash deposits until September 30, 2024.
The decision, communicated through a circular dated May 6, 2024, and signed by the Director of Banking Supervision, Adetona Adedeji, comes in response to concerns raised by bank customers regarding the recent imposition of processing fees on cash deposits.
Previously, banks had begun imposing a two per cent charge on cash deposits exceeding N500,000 for individuals and a two per cent charge on deposits above N3 million for corporate account holders.
However, following the latest directive from the CBN, these processing fees have been suspended.
In the circular addressed to financial institutions and non-financial institutions, the CBN referenced a previous letter dated December 11, 2023, which suspended processing charges on cash deposits above specified thresholds.
The suspension, initially intended to alleviate concerns raised by customers, has now been extended until the end of the third quarter of 2024.
“The Central Bank of Nigeria hereby extends the suspension of the processing fees of two per cent and three per cent previously charged on all cash deposits above these thresholds until September 30, 2024,” the circular stated.
As per the directive, financial institutions are instructed to continue accepting cash deposits from the public without imposing any charges until the specified date.
