BUSINESS – ‘CBN’s N50 Surcharge Directive On POS Misrepresented’

The Central Bank of Nigeria (CBN) yesterday said its directive on N50 charges by merchants who use Point of Sale (POS) machines for cashless transactions was misrepresented.

Speaking on TV programme yesterday, the director of Payment System Management, CBN, Musa Jimoh, said the apex bank issued a circular and merchants have misinterpreted the directive.

He said: “Stamp duty has been misinterpreted, our circular that talks about merchants paying stamp duties according to the law do not say that the stamp duty should be paid by the consumer; that is a misrepresentation of CBN directive. What our directive says is that merchants should pay all necessary tax as regulated by government agencies including stamp duty.

“What we told the merchants is that we would like the banks to ensure that the merchants comply with this directive by ensuring that every single payment that customers make to them, the merchants pay the regulated stamp duty of N50.

“What has happened is that they have actually transferred this fee blatantly and openly to the consumers; this is very wrong. No single individual should pay N50 in addition to the cost of the goods.

“Stamp duty is not to be paid by individuals that are consuming the goods and services of the merchants, the merchants who are receiving the money are the ones who are supposed to pay.”

He also explained that because the stamp duty is not regulated by the CBN, there are no plans to stop stamp duties. “Stamp duty is not a CBN regulated fee, it is a fee regulated by an act, and so we can’t change or push anything in that direction,’’ he said.

The CBN explained that the N50 stamp duty is a fee regulated by an act that directs merchants to pay all necessary taxes as regulated by government agencies. Similarly, bank customers in Kano yesterday commended the CBN for reviewing downward its policy on bank charges on Sunday.

Some of the customers who spoke to the News Agency of Nigeria (NAN) on Monday in Kano, expressed happiness over the announcement of the policy. Malam Usman Baffa, a trader at Kwari market in the metropolis, told NAN that the previous charges were indeed not favourable, but they could not help the situation. Mrs Amina Usman, a civil servant in Kano, also said that salary earners have suffered long queues to withdraw from their mother banks to avoid excess charges. She explained that although the charges were in bits, but they accumulated when many withdrawals were made. Another trader, Muhammad DanAli, also commended CBN for reducing the charges “at a time when people are in difficult financial state.”

He added that: “A difference of N30 from a single transaction isn’t a joke. We are grateful for the reduction. We earlier assumed and complained that many policies favoured the banks.” NAN reports that the CBN on Sunday released revised guidelines to Bank charges, mandating banks to charge N35 for cash withdrawals from other banks’ Automated Teller Machines (ATMs). This represents a reduction of N30 from previous N65 after a third withdrawal within a month.


No Comments Yet!

There are no comments at the moment, do you want to add one?

Write a comment

Write a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.

WP2Social Auto Publish Powered By :