The Central Bank of Nigeria (CBN) on Thursday reintroduced charges on cash deposits and withdrawals, according to a circular sgined by Dipo Fatokun, director, Banking & Payments System. Department.
According to the CBN, individual cash withdrawals or deposits less than N500,000 will attract no charges, however, cash withdrawals or deposits above N500,000 to N1 million attracts a two percent and 1.5 percent charges respectively.
While above N1 million to N5 million, two percent and three percent are charged for deposits and withdrawals respectively. Above N5 million three percent is paid for deposits and 7.5 percent withdrawals.
On the part of corporate entities, less than N3 million attracts no charges for withdrawals and deposits. N3 million to N10 million three percent and five percent charges are paid for deposits and withdrawals each, while N10 to N40 million attracts deposits and withdrawals charges of three percent and 7.5 percent apiece. Above N40 million attracts five percent and 10 percent for deposits and withdrawals respectively.
CBN says that the charges takes effect from April 1, 2017 in Lagos, Ogun, Kano, Abia, Anambra, Rivers and the Federal Capital Territory.
According to the CBN, income generated from the processing fees charges above the allowable cash transaction limits shall be shared between the CBN and the Banks in the ratio of 40:60.