How to Stop All Bank Charges in Nigeria ( Step-by-step)

Bank charges in Nigeria — from ATM fees and transfer levies to SMS deductions and stamp duties — have historically eaten into the hard-earned money of individuals, entrepreneurs, salary earners, and small business owners. For years, Nigerians struggled quietly with recurring deductions that often felt arbitrary, especially in a challenging economic environment where every naira counts. Bank charges ₦11 here, ₦50 there, ₦300 at month-end — until the deductions add up to real money lost. This article lays out a step-by-step roadmap to protect your money, leveraging both government policy changes and smart personal finance strategies.

What Charges Are Eliminated in 2026?

January 1, 2026 as part of the Nigeria Tax Act 2025 and related fiscal reforms, several common bank charges have officially been abolished which served as a monumental steps towards reducing bank stocks for everyday Nigerian Bank users.

Here’s what has been scrapped:

• ₦50 Electronic Money Transfer Levy (EMTL) on transfers below ₦10,000 — previously charged on small digital transfers.
• Stamp duty on salary payments and payroll transfers, meaning your employer’s bank no longer deducts a government tax on your wages.
• Stamp duties on investment transactions (government securities, bonds, shares).
• Stamp charges on stock share transfer documents.
• ₦50 fee on transfers within the same bank (from your account to your other accounts).

Step 1: Common bank charges that still apply

• ATM withdrawal fees (especially if you exceed your free monthly limit).
• Inter-bank transfer fees (sending to another bank).
• Account maintenance fees or inactive account charges.
• Card issuance and replacement fees.
• Overdraft or bounced transaction penalties.

Step 2: Choose the Right Account Type

Not all bank accounts are created equal in Nigeria:

Salary/Priority Accounts: If your employer pays your salary directly into your bank, it’s gives you  zero or reduced monthly charges — especially where maintaining a balance.

Digital/Fintech Accounts: Mobile banks like Kuda, Opay, Palm Pay, and others often offer free transfers, low-fee or free ATM withdrawals, and zero SMS charges — especially on basic accounts.

Step-by-step

• List all fees across your current accounts (maintenance, ATM, transfer, SMS).
• Compare with other banks or fintech offerings.
• If the savings are significant, open a new wallet or digital bank account and transition your core banking there.

Step 3: Game-Changing Ways to Avoid Fees

Mobile apps and online banking are the most powerful tools to cut bank fees. Because digital channels are cheaper for banks to operate, many banks offer lower or zero charges if you transact through them rather than via tellers or ATMs.

• Use Internet/Mobile App Banking: Transfers via the bank app often cost less than teller services or ATM usage, Pay bills, airtime, utilities, and tuition directly without stepping into the banking hall.
• Use USSD: USSD (*XYZ#) can be cheaper than ATM withdrawals — especially for transfers or bill payments — but don’t abuse it since some banks charge per session.
• Consolidate Payments: Batch your transfers and bills once a week or month instead of several small transactions — reducing per-transaction charges.

Step 4: How to Stop Paying for SMS Alerts

Banks typically charge for each SMS alert — and these tiny fees add up quickly.

• Log in to your bank app.
• Go to notifications/alerts settings.
• Disable SMS alerts and opt for email alerts (usually free).
• Ensure your correct email address is registered.

You’ll still receive transaction notifications — just at no extra cost.

Step 5: Keep a Close Eye on Your Statements

Hidden charges often go unnoticed because many people never check their bank statements until month’s end — or worse, don’t at all.

Monthly Habit Checklist

•  Download and review your e-statement every month
• Identify charges you don’t recognize

Banks in Nigeria are obligated to reverse unauthorized or wrongly deducted fees when challenged — but you must ask otherwise they remain buried in your balance.

Step 6: Plan Your ATM Usage to Avoid Fees

Most Nigerian banks offer 3–4 free ATM withdrawals per month. Beyond that, charges apply, Strategies to Avoid ATM Charges:

• Withdraw larger sums less frequently.
• Use your own bank’s ATM rather than a competitor’s.
• Use POS agents near you — many charge lower fees.
• Pay directly using digital wallets rather than withdrawing cash.
• Limit Inter-Bank Transfers

Step 7: Avoid Teller/Over-the-Counter Services

Direct bank hall transactions (like deposits or cheque processing) usually cost more because they involve manual processes.

Rather:

• Deposit via ATMs that accept cheques or cash.
• Use mobile cheque deposit features where available.
• Use the bank app for payments.

How  to Minimize These Costs

• Keep transactions with your primary bank
• If you must send funds to other banks, do it in fewer, larger transactions
• Consider fintech platforms that provide free or subsidized inter-bank transfers as part of promotions.

Frequently Asked Questions

Q1. Which bank charges are illegal in Nigeria now?

Some transfer levies and stamp duties, including stamp duty on salary payments, have been abolished.

Q2.How do I stop SMS alert charges on my bank account?

Turn off SMS alerts and switch to free email notifications on your bank app.

Q3. Why do banks still deduct money from my account monthly?

Common reasons include ATM withdrawals, inter-bank transfers, and account maintenance fees.

Q4.What should I do if my bank charges me wrongly?

Contact customer support and request a reversal immediately.

In Conclusion:  Stopping bank charges in Nigeria is about being banking smarter by ; turning off unnecessary alerts, Reduce withdrawals, Use digital channels, Choose the right accounts, Monitor your statements. Once you start checking your statements, questioning strange deductions, and choosing cheaper transaction channels, unnecessary charges naturally reduce. In fact, many banks only reverse wrong deductions when customers push back — silence often means acceptance. Over a year, the savings from avoiding small fees can run into thousands of naira. That’s money that could cover data subscriptions, transportation, emergency expenses, or even serve as seed capital for something bigger. In an economy where inflation keeps stretching household budgets, protecting your money matters just as much as earning it.

Read Also

Why Nigerian Banks Deduct ₦50 Naira From Transfers

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Fathia Abimbola

Fathia Abimbola is an analyst and a finance major with a BSc. in Banking and Finance from the Alex Ekwueme Federal University Ndufu-Alike, Ikwo in Ebonyi State.

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