The Central Bank of Nigeria (CBN) has scrapped card maintenance charges on naira-denominated debit and credit cards and introduced zero fees for electronic transfers of ₦5,000 and below, in a major overhaul of banking charges aimed at reducing costs and boosting financial inclusion.
The changes are outlined in a revised Guide to Charges by Banks and Other Financial Institutions, which takes effect from May 1, 2026, replacing the 2020 framework.
Under the new structure, customers will pay no fees for transfers of ₦5,000 and below. Transfers between ₦5,000 and ₦50,000 will attract a ₦10 charge, while transactions above ₦50,000 will cost ₦50. The CBN said the pricing model is designed to encourage low-value digital transactions and reduce dependence on cash.
In a significant relief for customers, card maintenance fees on naira debit and credit cards have been eliminated. However, foreign currency cards will attract an annual maintenance fee of $10 or its equivalent.
The cost of issuing or replacing debit and credit cards has also been reviewed upward from ₦1,000 to ₦1,500, reflecting rising operational costs within the financial system.
According to a circular signed by Rita Sike, the Bank’s Director of Financial Policy and Regulation, the review is part of broader efforts to strengthen transparency, competition, and efficiency in Nigeria’s financial system.
“The Guide aims to enhance flexibility, standardisation, transparency and competition in the Nigerian financial system,” the apex bank stated.
The updated framework also introduces a ₦100 cap on electronic bill payments, payable by the sender, while maintaining zero charges for customers on Point-of-Sale (PoS) transactions. Merchant service charges are fixed at 0.5 per cent per transaction, capped at ₦10,000.
For ATM withdrawals, customers using other banks’ machines will continue to pay ₦100 per ₦20,000 withdrawn at on-site ATMs. Off-site ATMs may attract an additional surcharge of up to ₦500, provided such charges are clearly disclosed.
On transaction alerts, email notifications will remain free, while SMS alerts may only be charged on a cost-recovery basis.
The revised guide strengthens consumer protection by mandating banks to fully disclose all charges and inform customers when fees are negotiable. Where applicable, customers must be notified of their right to negotiate charges at the start of transactions, with all agreements properly documented.
The CBN also directed that non-credit charges must only be applied where sufficient funds exist in a customer’s account. Any unpaid fees are to be deferred until the account is funded, without accruing interest.
To improve lending transparency, financial institutions are now required to present all loan-related costs as a single Annual Percentage Rate (APR) at the point of transaction. Customers must also receive advance notice of any changes to agreed lending rates, at least 10 business days for banks and five days for microfinance institutions.
In addition, financial institutions must submit monthly reports on failed electronic transactions across ATMs, PoS, mobile, and internet banking channels. Any new charges or services not captured in the guide must receive prior approval before implementation.
The new framework applies to all CBN-regulated institutions, including commercial banks, merchant banks, payment service banks, non-interest banks, microfinance banks, finance companies, and mobile money operators.
Analysts say the move signals a deliberate push by the CBN to lower the cost of everyday banking while tightening oversight, ultimately fostering trust and accelerating the adoption of digital financial services across Nigeria.
