CBN Orders Suspension of Cash Deposit Charges for Three Months

The Central Bank of Nigeria (CBN) has issued a directive to banks, instructing them to suspend charges on cash deposits until September 30, 2024. This announcement was made known through a circular released by the CBN’s director of banking supervision, Adetona Adedeji, on May 6, 2024.

The directive comes in response to complaints from customers of Deposit Money Banks (DMBs), who raised concerns about the initiation of processing fees for cash deposits starting from May 1.

The CBN had previously suspended processing charges on cash deposits exceeding N500,000 for individual accounts and N3,000,000 for corporate accounts until April 30, 2024, as announced on December 11, 2023. However, in the recent circular addressed to both financial and non-financial institutions, the CBN reaffirmed its stance.

The circular stated, “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.”

Furthermore, it elaborated, “The Central Bank of Nigeria hereby extends the suspension of the processing fees of two per cent and three per cent previously charged on all cash deposits above these thresholds until September 30, 2024.”