CBN Raises ATM Card Fee to N1,500, Eliminates Maintenance Charge

The Central Bank of Nigeria (CBN) has announced a hike in the fee for issuing and replacing Automated Teller Machine (ATM) cards, raising it from N1,000 to N1,500, marking a 50% increase. This decision is part of a broader effort to strengthen the financial system and promote innovation, as outlined in a draft guideline signed by Dr. Rita Sike, the CBN Director of Financial Policy and Regulation.

Additionally, the CBN has abolished the previous monthly maintenance charge of N50 for naira-denominated debit and credit cards. However, foreign currency-denominated cards will still incur an annual maintenance fee of N10.

The new framework stipulates that cardholders will no longer bear transaction charges at merchant point-of-sale terminals; instead, these costs will be fully borne by merchants. The CBN has also set a maximum cap of N10,000 on merchant service charges per transaction, with a rate of 0.5% applicable.

These revisions aim to encourage greater adoption of electronic payment channels and enhance oversight within the financial sector.