CBN directs banks to suspend charges on cash deposit until September 30

The Central Bank of Nigeria (CBN) has directed all Deposit Money Banks (DMBs) in the country to suspend charges on cash deposits until September 30, 2024.

The apex bank, in a circular signed by its Director of Banking Supervision, Adetona Adedeji, directed financial institutions to continue to accept all cash deposits from the public without any charges till the end of the third quarter.

The Banks had on May 1, resumed collection of processing fees on cash deposits. Based on the directive, 2 percent was to be charged on deposits above N500,000 for individuals, while corporate account holders were to be charged 3 percent on deposits above N3,000,000.

According to the latest circular to financial institutions and non-financial institutions, the CBN said the processing fees have been suspended.

Dated May 6, 2024, the circular reads: “Please refer to our letter dated December 11, 2023, referenced BSD/DIR/PUB/LAB/016/023 on the above subject, suspending processing charges imposed on cash deposits above N500,000 for Individuals and N3,000,000 for Corporates as contained in the ‘Guide to Charges by Banks, Other Financial Institutions and Non-Bank Financial Institutions’ issued on December 20, 2019.

“The Central Bank of Nigeria (CBN) hereby extends the suspension of the processing fees of 2% and 3% previously charged on all cash deposits above these thresholds until September 30, 2024.”