Cashless Policy: CBN clarifies confusion on the new charges for withdrawal and deposits

NO, you are not going to pay extra N10,000 on every
transaction above N500,000.
CBN says the Cashless policy is strictly applicable to
Cash-based transactions and not on electronic
banking.
CBN Cashless policy aims at reducing the amount of
physical cash (coins and notes) circulating in the
economy and encouraging more electronic-based
transactions (payments for goods, services, transfers,
etc.)
Nigeria's central bank (CBN) has clarified an early
confusion surrounding the new charges on withdrawal and
deposits for the country's cashless policy.
According to the policy, a withdrawal above N500,000 on an
Individual account attracts 3% penalty while deposit above
N500,000 will attract 2%.

With this, the new charges generated a lot of controversies
among bank customers and stakeholders as many picked
holes in it, paving the way for different calculations.
The Nigerian parliament also called for its suspension
pending due consultations with relevant stakeholders.
Since then, CBN has explained some of the issues arising
from the new charges on withdrawal and deposits.
1. The Cash-less Policy deposit/withdrawal charge is only
on the amount above the limit. For instance, if you deposit
cash of N501,000 N1,000 is over the limit. The bank will
charge you 2% of N1,000 which is N20. The same applies
when you deposit more than N5 million
2. The CBN Cashless policy is strictly applicable to Cash-
based transactions and not on electronic banking.