CBN Raises ATM Card Fee to ₦1,500, Scraps Monthly Maintenance Charges

By Aluko Adeyemi

The Central Bank of Nigeria (CBN) has increased the cost of issuing and replacing ATM debit and credit cards by 50 percent, raising the fee from ₦1,000 to ₦1,500.

The adjustment was disclosed in the bank’s exposure draft of the Guide to Charges by Banks and Other Financial Institutions (OFIs) 2026, as part of broader reforms aimed at strengthening Nigeria’s financial system and encouraging digital payments.

What’s Changing?

Under the new framework:

• ATM card issuance/replacement now costs ₦1,500 for regular cards
• Premium card charges remain negotiable
• Virtual cards are free of charge
• Monthly maintenance fees of ₦50 on naira cards have been scrapped
• Foreign currency cards will still attract a $10 annual maintenance fee

The apex bank also clarified that customers will no longer bear charges for payments made via Point of Sale (PoS) terminals. Instead, merchants will cover the Merchant Service Charge (MSC), capped at 0.5 percent per transaction, with a maximum of ₦10,000.

Push for Digital Payments

According to the CBN, the revised charges are part of efforts to promote a safer and more efficient financial ecosystem, while accelerating the adoption of electronic payment channels.

In a circular signed by Rita Sike, the bank stated that the updated guide reflects the evolving financial landscape and supports innovation in banking services.

The review is designed to “encourage increased adoption of electronic channels” and improve financial inclusion, particularly through lower costs for micropayments and digital transactions.

Impact on Customers and Businesses

While the increase in card issuance fees may affect new and replacement card users, the removal of monthly maintenance charges is expected to ease the burden on millions of bank customers.

For businesses, however, the shift in PoS transaction costs means merchants will now fully absorb service charges — a move aimed at protecting consumers and encouraging cashless transactions.

Looking Ahead

The revised guidelines highlight the CBN’s ongoing efforts to modernise Nigeria’s banking sector, expand access to financial services, and adapt to the growing demand for digital payment solutions.

As electronic transactions continue to rise, the policy changes could play a key role in shaping how Nigerians interact with the financial system.