CBN proposes 50% ATM card fee increase to N1,500

The Central Bank of Nigeria (CBN) has proposed a new charge of N1,500 for the issuance and replacement of ATM debit cards, marking a 50 per cent increase from the current N1,000 fee.

The proposed fee is contained in the apex bank’s Exposure Draft of the Guide to Charges by Banks and Other Financial Institutions in Nigeria, 2026, which is expected to take effect from May 1, 2026.

Under the revised guide, customers will pay a one-off fee of N1,500 for standard debit and credit cards, whether for new issuance, replacement of lost or damaged cards, or renewal upon expiry.

However, charges for premium cards, including high-end debit, credit, or hybrid cards, will not be fixed, as banks are allowed to negotiate those fees directly with customers.

This marks a shift from the 2020 framework, where ATM card charges were standardised at N1,000 across all card types.

Why the CBN is increasing charges

The CBN said the review is part of broader efforts to strengthen the financial system, promote innovation, and improve financial inclusion, especially in digital payments and micropayments.

According to the regulator, the updated guide expands the scope of financial services, reflects new industry developments, and encourages greater use of electronic banking channels.

It also aims to improve transparency, standardisation, and competition across the banking sector.

The draft has been released for public input, with stakeholders and customers invited to submit feedback before May 8, 2026.

The final version will replace the current 2020 guide once approved and implemented.

What it means for customers

If implemented, the new charge will increase the cost of accessing basic banking services for millions of Nigerians, particularly those who rely heavily on ATM cards for daily transactions.

However, the CBN noted that banks must clearly inform customers when charges are negotiable and ensure agreements are reached transparently.

It also stated that fees can only be deducted if there is a sufficient balance in a customer’s account, with unpaid charges deferred without interest until funds are available.

The revised framework will apply to all financial institutions regulated by the CBN, including commercial banks, microfinance banks, mobile money operators, and other licensed entities.

Also read: Nigeria plans 3-year shift to new Internet system as data demand surges