CUSTOMERS TO PAY FOR ATM WITHDRAWAL FROM OTHER BANKS

It was the joy of all nigerians then when they do not need to locate their banks' ATM before they can withdraw, following the decision by the Bankers' Committee of the CBN to remove the #100 withdrawal charges. Later it was gathered that the Sanusi Administration decided to shoulder the responsibility to enhance the cashless policy of the CBN. However, the banks seem to have registered their inability to bear the burden any longer and so, a new plan has to be made to ameliorate their low income on this wise. All Customers are to pay #65 from the 4th withrawal from any other banks, beginning from September 1. This is contained in a statement by Mr Fatokun on wednessday as follows:


The statement signed by the Director, Banking and Payment Systems Department, CBN, Mr. Dipo Fatokun, said that the central bank and deposit money banks in Nigeria had agreed to re-introduce the ATM charges because the cost of transaction was becoming too burdensome for the banks to continue to bear. The direct implication on the bank customer, who is already being charged for over the counter withdrawals below N20,000, is that he may have to hold on to more cash to avoid having to seek out ATMs. Customers, are however advised to stick to ATMs of their banks if they seek to avoid this reinstatement.
The twist in this reintroduction is that the first three (3) withdrawals from third party ATMS in a month would be overlooked; however, every third party withdrawal after this would then be charged at what stakeholders are referring to as a ‘token fee’.
Fatokun in this statement said, “The CBN hereby issues the following directives: The re-introduction of ‘Remote-on-us’ ATM cash withdrawal transaction fee, which will now be N65 per transaction, to cover the remuneration of switches, ATM monitoring and fit-notes processing by acquiring banks; the new charge shall apply as from the fourth ‘Remote-on-us’ withdrawal (in a month) by a cardholder, thereby making the first three ‘Remote on us’ transaction free for the cardholder, but to the paid by the issuing bank. September 1, 2014 shall be the effective date for the implementation of the new charge; banks are expected to conduct adequate sensitisation to the customers on the introduction of the new fee; all ATM cash withdrawals on the ATM of issuing banks shall be at no cost to the cardholder.”
He also said, “However, as a result of the unintended consequences of the decision, which has resulted in substantial cost burden incurred by banks in defraying the cost of the service, the payment structure for card carrying bank customers is hereby reviewed in line with present realities.”