…increases cost of replacing debit/credit card to N1,500

The Central Bank of Nigeria (CBN), yesterday, unveiled a draft of its “Guide to Charges by Banks and Other Financial Institutions, 2026,” that sees the apex bank, among other changes, proposing N1,500 as the cost of replacing regular debit/credit card, introducing caps on fees and requiring stricter disclosure requirements by financial institutions.

In a circular posted on its website, the CBN said the revised framework is part of efforts to strengthen financial stability, deepen inclusion, and drive the adoption of digital financial services. The CBN said the updated guide reflected a broader policy shift towards a more transparent and consumer-friendly banking environment, adding that it had reviewed the existing 2020 guide to align with current realities.

Apart from the apex bank’s proposal that the cost of replacing regular debit/credit card should be increased to N1,500 from about N1,000, another key highlight of the draft guidelines is the introduction of structured caps across several banking services. For electronic funds transfers, interbank transactions are now capped at N10 for transfers between N5,000 and N50,000, while transactions above N50,000 attract a maximum fee of N50, and transfers below N5,000 remain free.

ATM withdrawal charges have also been standardised, with customers withdrawing from another bank’s ATM paying N100 per N20,000 on on-site machines, while off-site withdrawals attract N100 plus a surcharge of up to N500 per N20,000.

Also, the guide caps merchant service charges at 0.5 per cent per transaction, subject to a maximum of N10,000. Beyond transaction fees, the CBN is tightening rules around lending transparency by mandating that all loan-related charges be disclosed using the Annual Percentage Rate framework.

The guide states that “all interest/lending rates, inclusive of all applicable fees, shall be quoted and communicated to customers strictly on an Annual Percentage Rate (APR) basis.” It further states that where charges are marked as negotiable, institutions must inform customers of their rights and ensure that agreed fees do not exceed stipulated maximum thresholds.

According to the guide, “where a charge is stipulated as ‘negotiable’, financial institutions are required to draw the attention of customers to their rights to negotiate.” The CBN said that members of the public should send their comments on the draft guide to its policy and regulation division on or before May 8, 2026.