BoG reiterates stance on abolishment of unfair fees and charges by banks, SDIs
The Central Bank has reiterated its position on the abolishment of what it describes as unfair fees, charges and other practices of banks and specialised-deposit taking institutions (SDIs) in the country.
According to the BoG, it will not hesitate to deal with banks and SDIs that are not compliant with the directive.
The Central Bank in a notice issued on Friday, June 18, 2021, directed all banks and Specialised Deposit-Taking Institutions (SDIs) in the country to desist from the collection of some fees and charges on the provision of its products and services.
In the notice, the Central Bank averred the imposition of the said fees and charges are inappropriate and detrimental to the financial inclusion agenda of government and the protection of customers’ interests.
The “unfair fees and charges” as noted by the Central Bank include;
- Credit Insurance Premium Overcharge
- Maintenance Fees on Savings Account
- Over the Counter (OTC) Withdrawal Charges
- Change of Ownership of Collateral Documents
- Application of Interest on Penal Charges
- Quotation of Monthly Interest Rates on Credit Facilities
- Third Party Deposit/Withdrawal Violations
