…. Customers To Pay N4m On N40m Cash Withdrawal
By Nse Anthony-Uko,
ABUJA, (Sundiata Post) – The Central Bank of Nigeria (CBN), on Thursday, announced the nationwide implementation of the Cash-less Policy, with its extension to the 30 remaining states of the Federation.
Accordingly, the apex bank said charges on deposits in excess of the stipulated amounts will be re-introduced in the six states and Abuja where the policy is already in operation. This will take effect from April 1, 2017.
Recall that the CBN had suspended charges on deposits in excess of N500,000 for individuals and N3 million for corporate accounts, in the six states namely Lagos, Ogun, Kano, Abia, Anambra, Rivers and Abuja to allow for more sensitisation. However, charges on excess withdrawals where sustained.
CBN Director, Banking & Payments System Department, Mr Dipo Fatokun, in circular to all Deposit Money Banks (DMBs) said charges on both deposits and withdrawals have been reviewed and these rates would be applicable henceforth.
A breakdown of the new charges showed that cash deposits or withdrawals of less than N500,000 on individual accounts and less than N3 million on corporate accounts will attract zero charges.
However, deposits of N500,000 to N1 million, above N1million to N5 millions on and above N5 million cash into individual accounts would attract charges of 1.5 per cent, two per cent and three per cent respectively, while withdrawals of same amounts would attract charges of two per cent, three per cent and 7.5 per cent respectively.
For corporate accounts deposits of N3-10 million, above N10-40 million and above N40 million will attract charges of two per cent, three per cent and five per cent respectively while withdrawals of N3-10 million, above N10-40 million and above N40 million will attract charges of five per cent, 7.5 per cent and 10 per cent respectively.
Mr Fatokun said these decisions were taken by the Bankers’ Committee at its 493rd meeting held on February 8, 2017.
“The new charges would take effect from April 1 in the existing cashless states (Lagos, Ogun, Kano, Abia, Anambra, Rivers and the FCT). The policy shall be implemented with the charges taking effect on May 1 in the following states: Bauchi, Bayelsa, Delta, Enugu, Gombe, Imo, Kaduna, Ondo, Osun and Plateau,” the circular read.
“The policy shall be implemented with the charges taking effect on August 1 in Edo, Katsina, Jigawa, Niger, Oyo, Adamawa, Akwa-Ibom, Ebonyi, Taraba and Nasarawa. The policy shall be implemented with the charges taking effect on October 1 in Borno, Benue, Ekiti, Cross-River, Kebbi, Kogi, Kwara, Yobe, Sokoto and Zamfara.”
CBN said the income generated from the charges would be shared between it and the banks in a ratio of 40:60.
It said exemptions would only be available for the government, embassies, diplomatic missions and aid donor agencies.
