How Banks are Milking the Masses Dry Using Government and CBN

The increased monthly charges on ATM card maintenance is indeed a bad news for the masses. The poor had never had it so bad in Nigeria in recent times. They were the ones that was affected by the ban on importation of ‘I-pass-my-neighbour-generator’, the Stamp Duty charge of N50 on every withdrawal made by bank account holders from and now Bank customers in Nigeria will pay nothing less than N1.462 billion to banks as card maintenance charges every month totaling N17.544 billion in a year beginning from this May 2017, as the revised Guide to Bank Charges take effect from this month.
The CBN and the banks have come to discover the enormous wealth they can generate from daily withdrawals having tested charges made when one withdraws many from other bank ATM. Zenith bank alone generate revenue from this source running into multiple millions as they have the most efficient ATM systems
According report obtained online, the Central Bank of Nigeria (CBN) had revised the card maintenance charges in the new guide which was released last month from N100 annually to N50 monthly. This means every debit or credit card holder will pay N600 annually as against the N100 being paid previously. That is about 600% increase making Nigerians slave to the bank as they have been force to pay owners of these bank Monthly salaries in millions.
According to data released recently by the Nigeria Inter Bank Settlement System (NIBSS) the central database for banking transactions in the country show that as at September 30, 2016, there are 29.24 million active cards being used by the 63 million active bank customers. You can do the arithmetic and get to know how much this banks are earning per month.
The new Guide to Bank Charges stipulates that banks charge N50 monthly as card maintenance fee on naira debit and credit cards, while foreign currency denominated debit and credit cards would be charged $20 or its equivalent on an annual basis.
Charges for new hardware token and for replacement was increased from N2,500 to N3,500, while one time soft token is to attract a SMS charge of N4 compared to N20 that was being charged by some banks.
It however left the rate for acquiring new debit and credit card, renewal or replacement of the cards at a one off charge of N1,000, while not-on-us, which is withdrawal from other banks Automated Teller Machines (ATM), would attract a charge of N65 after the third withdrawal within a month.
Well, it is not all bad news at all as the new charges however favour electronic transfers as the charges for online transfers between two banks were cut from N100 to N50. Before now, interbank transfers either through the mobile banking application or internet banking attracts a N100 charge and N5 Value Added Tax. This has however been cut down. The amount to be paid for printing of account statement was also cut down from N50 per page to a maximum of N20 per page.

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