CBN Hikes ATM Card Fees
The Central Bank of Nigeria (CBN) has released an exposure draft of the “Guide to Charges by Banks and Other Financial Institutions, 2026,” proposing a rise in the cost of ATM card issuance and replacement. If finalized, the fee for standard debit and credit cards will climb to ₦1,500, a 50 per cent increase from the long-standing ₦1,000 charge. This move is part of a broader regulatory update intended to modernize banking fees and promote digital adoption.
Key features of the draft include:
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Card Fees: Issuance and replacement fees for regular debit or credit cards rise to ₦1,500. Premium and hybrid card fees remain negotiable between customers and banks, while virtual cards remain free.
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Maintenance Charges: The mandatory ₦50 monthly maintenance fee for naira-denominated debit and credit cards (which previously included 7.5 per cent VAT) will be scrapped. Foreign currency-denominated cards will retain an annual maintenance fee of $10.
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Merchant Transactions: The CBN reiterated that merchant service charges (MSC) for transactions on Point of Sale (PoS) terminals must be borne solely by the merchant. Cardholders are not to be charged for paying at merchant locations.
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Transfers: The draft caps electronic funds transfer fees: free for transactions below ₦5,000, ₦10 for transactions between ₦5,000 and ₦50,000, and a maximum of ₦50 for transfers exceeding ₦50,000.
The apex bank intends for this revised guide to simplify the cost of digital payments and encourage innovation across the financial sector. Dr. Rita Sike, Director of the Financial Policy and Regulation Department, emphasized that the guide aims to promote a safe financial system while fostering inclusion through more transparent tariff structures.
Public feedback on the draft is open until May 8, 2026. Interested stakeholders may submit inputs to the CBN’s Policy and Regulation Division. The guidelines, once finalized, are expected to take effect from May 1, 2026, replacing the current 2020 framework.