Nigerian banks have begun implementing a new fee for ATM withdrawals, effective March 1, following a directive from the Central Bank of Nigeria (CBN) dated February 10, 2025.
Under the new rule, customers withdrawing money from their own bank’s ATM will not be charged any fee.
However, if you use an ATM belonging to another bank, you will be charged N100 for each withdrawal of N20,000 or less at on-site ATMs—those located within or directly affiliated with bank branches.
For off-site ATMs, such as those in shopping malls or fuel stations, an extra surcharge of up to N500 may be applied per transaction.
International ATM withdrawals will be charged based on the exact fee imposed by the international acquirer.
In a bid to reduce customers’ reliance on other banks’ machines—and thus avoid the extra fee—banks in Lagos have taken proactive measures by ensuring their ATMs are well-stocked with cash.
At the Wema Bank branch along Funsho Williams Avenue, for instance, ATMs are displaying messages informing cardholders from other banks that a fee of N107.50 (inclusive of VAT) will be added to their withdrawal amount.
Similar notices have been observed at First Bank, Access Bank, Zenith Bank, and Guaranty Trust Bank, where customers are prompted to confirm their willingness to pay the additional charge before proceeding.
Eze Chinonso, a security worker, expressed his discontent, saying, “This is just another cost I must pay to use my money. With the rising cost of data, transport, and other essentials, it is really squeezing our already stressed pockets.”
Social media users, like Opel Nnenna on the X platform, have also taken to the internet to criticize the policy, arguing that excessive banking fees are adding to the economic burden on Nigerians.
Labour unions and civil society groups have joined the chorus of dissent. Both the Trade Union Congress (TUC) and the Socio-Economic Rights and Accountability Project (SERAP) have called for the suspension of these ATM fees.
In a joint statement, union leaders urged President Bola Tinubu to instruct the CBN to reverse the fee hike, describing it as an exploitative measure that worsens the financial hardships facing the people.
The CBN advises Nigerians to use their own bank’s ATMs or other payment channels like mobile banking apps and POS devices to avoid the extra charges.
