Multiple Account Holders Face Restrictions as Banks Tighten Cash Limits To N20, 000 Daily

The lingering scarcity of cash in Nigeria has taken a toll on bank customers as commercial banks tighten withdrawal limits across Automated Teller Machines (ATMs). Customers with multiple accounts now face a daily withdrawal cap of N20,000, exacerbating the cash crunch that has persisted for months despite assurances from the Central Bank of Nigeria (CBN).

Investigations revealed that the situation has worsened in recent weeks, leaving customers frustrated over their inability to access cash. A customer recounted his ordeal, stating, “After withdrawing N20,000 from one of my accounts, I attempted to use another ATM card for more cash, but the system indicated I had exceeded the daily withdrawal limit.”

Although the CBN Governor, Olayemi Cardoso, recently assured stakeholders at the annual Bankers’ Dinner in Lagos that the apex bank would ensure adequate cash flow, particularly during the festive season, the reality across the country tells a different story. “We remain committed to maintaining robust cash circulation to meet the country’s needs during high-demand periods,” Cardoso had said.

Customers have continued to grapple with withdrawal limits that vary depending on banks and cash availability. Reports indicate that while some ATMs allow a maximum of N20,000 per day for account holders, others peg limits as low as N5,000 for customers of other banks.

At a branch of Guaranty Trust Bank (GTB), it was discovered that non-GTB customers could withdraw only N5,000, while GTB account holders faced a limit of N20,000 at both ATMs and over-the-counter transactions. A bank official explained the restriction, saying, “It depends on cash availability, but the current cap is N20,000.”

Similar restrictions were observed at other banks, including FCMB and Zenith Bank. FCMB customers were allowed to withdraw up to N40,000, while customers of other banks were limited to N20,000. A Zenith Bank customer also confirmed that withdrawals were capped at N20,000.

The situation has also had a severe impact on point-of-sale (POS) operators, who rely heavily on bank cash for their business. Mosuru Oluwasegun, a POS agent, lamented the challenges caused by the withdrawal limits. “We are facing serious problems with cash scarcity. Banks are only dispensing N5,000 at a time, which is not enough for us to operate effectively,” he said.

Bank officials speaking under anonymity disclosed that the supply of cash to branches remains limited, forcing banks to ration withdrawals. “Cash supply is low, and we are trying to ensure it goes around. POS operators don’t even get their cash from banks anymore; they source it from fuel stations and markets,” one source said.

The ongoing scarcity has left many Nigerians in difficult financial situations, particularly as the festive season approaches. With no end in sight, stakeholders continue to urge the CBN and commercial banks to address the issue promptly and restore normalcy to cash withdrawals nationwide.