Cashless Policy: We Will Only Charge Amounts That Exceeds Limit Of N500,000

Following the heavy criticism tailing cashless policy, the Central Bank of Nigeria (CBN) has come out to correct the mindset of Nigerians towards the newly announced policy.

KanyiDaily had reported that the CBN directed all deposit money banks in the country to charge 3% processing fees for withdrawals and 2% for deposits of amounts above N500,000 for individual accounts.

Nigerians have been enraged thinking the charges will be on the entire money deposited/withdrew.

Reacting to the criticism on Twitter, CBN said the charges on deposit and withdrawal will only be carried out on the excess of the limit it has set, which is N500,000.

According to CBN, if someone deposits cash of N501,000.00. N1,000.00 is in excess of the limit, therefore the bank will charge 2% of the N1000.00 which will be twenty naira ( N20.00).

“The Cash-less Policy deposit/withdrawal charge is only on the amount in excess of the limit. For instance, if you deposit cash of N501,000.00, N1,000.00 is in excess of the limit. The bank will charge you 2% of N1,000.00 which is N20.00,” the apex said.

The Cash-less Policy deposit/withdrawal charge is only on the amount in excess of the limit. For instance, if you deposit a cash of N501,000.00. N1,000.00 is in excess of the limit. The bank will charge you 2% of N1,000.00 which is N20.00.

— Central Bank of Nigeria (@cenbank) September 20, 2019

Meanwhile, CBN has also directed the strict implementation of merchant service charge, which would impose more charges on all point of sale (PoS) transactions.