The apex bank had in December 2012 suspended the payment of N100 fee per transaction by customers.
The revisited policy takes effect from September 1, 2014.
Remote-on-us are transactions done by a cardholder on another bank’s ATM. The central bank stated this in a circular addressed to all banks, dated August 13, 2014.
A CBN circular to the money deposit banks dated August 13, 2014 and signed by its director, banking and payment system department, Dipo Fatokun stated that the re-introduction of remote-on-us ATM cash withdrawal transactions fee would now be N65 per transaction to cover the remuneration of the switches, ATM monitoring and fit-notes processing by acquiring banks.
By implication, only ATM cardholder who withdraws cash from another bank’s ATM other than the issuing bank will be affected while all ATM cash withdrawal on the ATM of issuing banks shall be no cost to the cardholder.
“The CBN in collaboration with the bankers committee had in December 2012 transferred the payment of N100 fee on Remote-on-us ATM cash withdrawal transactions to issuing bank. This fee is shared between the acquirers, issuers and switches. On commencement of the arrangement in December 2012, banks (issuers) decided to waive the issuer fee of N35, which should have ordinarily been an income to them. Consequently, banks only bore the cost of N65 each time their customers use another banks’ ATM,” the circular read in part.
The CBN said “as a result of the unintended consequences of the decision, which has resulted in substantial cost burden incurred by banks in defraying the cost for the service, the payment structure for card carrying bank customers is hereby review(ed) in line with present realities.”
Meanwhile, in a separate circular on the review of the operation of the NIBSS Instant Payment (NIP) system and other electronic payment Options with similar features, the CBN expressed its preparedness to further strengthen the risk aversion measures put in place for the operations of the NIP system and other electronic payment options.
“The CBN has directed the categorisations of online transfer from low security to highly secured transfer with specified limits. Banks are expected to achieve “Highly Secured Online Funds Transfer” status within six months, that’s, with a deadline of December 2014.
“Limits of N1 million (instant value) and N10 million (next day value) shall be applied for NIP and other electronic payment options with similar features, initiated by individuals with effect from 18th August, 2015,” it stated.
Source: aitonline.tv
