Following the Central Bank of Nigeria’s (CBN) previous restrictions on automated teller machine (ATM) withdrawals, Deposit Money Banks (DMBs) in the country have begun raising the maximum amount customers can withdraw daily to N200,000.
In an email notification to its customers, Zenith Bank Plc announced that customers can now withdraw up to N200,000 per day at its ATM terminals nationwide, regardless of the issuing bank of the card.
However, the bank clarified that the N500,000 weekly cashless policy withdrawal limit for individuals remains in place.
There are indications that other banks in Nigeria may also adopt this approach, allowing their customers to withdraw larger amounts, potentially around N200,000, through ATM terminals, although they have not made public announcements.
Previously, most banks had set a daily withdrawal limit of N20,000 on their ATM terminals, particularly for cards issued by other banks. This limit was put in place during the naira redesign policy.
In December of the previous year, the CBN limited weekly cash withdrawals over the counter to N100,000 for individuals and N500,000 for organizations. The directive also set the daily cash withdrawal limit at point of sale (POS) and ATM terminals to N20,000 per day, effective from January 9, 2023.
As a result, customers sought out their own bank’s ATMs for higher withdrawal limits or resorted to over-the-counter cash withdrawals.
A circular issued by the CBN at the time stated, “The maximum cash withdrawal per week via ATM shall be N100,000 subject to a maximum of N20,000 cash withdrawal per day. Only denominations of N200 and below shall be loaded into the ATMs. The maximum cash withdrawal via point of sale (POS) terminal shall be N20,000 daily.”
However, the limits on POS withdrawals and denominations have not been strictly enforced, as cash withdrawals through POS have exceeded N20,000, and all ATMs are currently dispensing only N1,000 and N500 notes.
A circular issued by the apex bank during the period stated that “the maximum cash withdrawal per week via ATM shall be N100,000 subject to a maximum of N20,000 cash withdrawal per day.
“Only denominations of N200 and below shall be loaded into the ATMs. The maximum cash withdrawal via point of sale (POS) terminal shall be N20,000 daily.”
The limits on POS as well as denomination part of the statement have, however, not held ground as cash withdrawals limit through POS has since been in excess of N20,000 while all ATMs are dispensing only N1,000 and N500 notes.
