Banking
Reps to Tackle Excessive Charges on Customers’ Bank Accounts
By Adedapo Adesanya
The House of Representatives has moved to probe what it described as the “arbitrary, excessive, and unexplained” charges drawn from customers’ accounts by money deposit banks operating in the country.
This followed a resolution of a motion of urgent public importance sponsored by Mr Tolani Shagaya, a lawmaker from Kwara State, at Tuesday’s plenary session presided over by the Speaker, Mr Tajudeen Abbas.
Titled, Need to curb arbitrary bank charges and protect Nigerian customers, Mr Shagaya drew the attention of his colleagues to the incessant charges levied on Nigerian bank customers despite repeated warnings by the Central Bank of Nigeria (CBN).
The House had at a plenary session in 2016 raised the alarm over alleged shady deals by some commercial banks following the consideration of a motion moved by the then-member representing Kabba/Bunu/Ijumu Federal Constituency, Kogi State, Mr Tajudeen Yusuf.
At the time, Mr Yusuf informed his colleagues how commercial banks were in the habit of abusing the N65 Automated Teller Machine (ATM) withdrawal charge per transaction, which the apex bank had stipulated should apply only after the third withdrawal from another bank’s dispensing unit.
Also, in 2023, the green chamber expressed displeasure over the “excess charges and illegal deductions” by commercial banks, following a motion sponsored by Mr Godwin Offiono.
In his motion, Mr Offiono accused commercial banks of “fleecing customers through unauthorised deductions in breach of extant financial laws.
“While banks are expected to provide financial services at fair costs, many Nigerian customers have repeatedly experienced multiple and unaccounted deductions that strain their finances.
“These arbitrary charges have persisted despite the CBN’s clear directives. They have become a major source of concern for Nigerians who are already battling economic hardship,” he stated on the floor of the chamber.
He would go on to list the unjustified charges to include excessive SMS alert fees, card maintenance charges, account maintenance deductions, and interbank transfer costs, among others.
Speaking on the motion on Tuesday, Mr Shagaya noted that if the practices continue, “Public trust in banks will be eroded while savings will be discouraged, thus undermining the CBN’s financial inclusion campaign.”
“These incessant charges have become not only a source of frustration but also a barrier to financial inclusion.
“When citizens lose confidence in the banking system, it defeats the government’s efforts to build a robust digital and cashless economy.”
Following the adoption of the motion, the House urged the CBN to “immediately publish a simplified and comprehensive list of all approved bank charges to enhance transparency and consumer awareness.”
It also charged the apex bank to be tough on compliance and enforce sanctions when its directives are breached by commercial banks.
Furthermore, the House mandated the CBN to “establish an accessible and efficient redress mechanism for customers to lodge complaints and seek timely resolution of issues relating to arbitrary charges.”
Also at the session, the lawmakers urged the Federal Competition and Consumer Protection Commission (FCCPC) and other relevant agencies to commence “a nationwide awareness campaign to educate customers on their rights and the proper channels for redress”.
Meanwhile, the House has mandated its Committee on Banking Regulations to summon representatives of the CBN and major commercial banks to appear before it to “address the growing concerns over incessant and unjustified deductions from customers’ accounts”.
The committee is expected to monitor compliance with existing banking guidelines and recommend appropriate legislative or regulatory actions to strengthen consumer protection.
By Aduragbemi Omiyale
Plans are underway by Ecobank Transnational Incorporated (ETI) to approach the international debt market for a capital raise.
The parent company of the Ecobank Group intends to use proceeds from the proposed exercise to refinance “the concurrent any-and-all tender offer of the ETI $350 million 8.750 per cent tier 2 notes due June 2031.”
However, the issuance of the notes is subject to prevailing market conditions and the conclusion of the necessary transaction documentation, a statement signed by the organisation’s chief financial officer, Mr Ayo Adepoju, stressed.
After issuance, the debt instrument may be listed on the London Stock Exchange, with the expectation that the bonds will be traded on its regulated market.
Ecobank noted that it would allocate an amount equivalent to the full net proceeds of the issue of the notes to finance or refinance, in part or in full, new and/or existing eligible assets as described in its Green Bond Framework (Ecobank-Sustainability), as amended and supplemented from time to time.
Ecobank, which has banking operations in 34 countries in Africa, is listed on the Nigerian Exchange (NGX) Limited, the Ghana Stock Exchange and the Bourse Régionale des Valeurs Mobilières (Stock Exchanges).
By Modupe Gbadeyanka
Over N500 million has been disbursed to small-scale traders and shop owners across Nigeria by Unity Bank Plc.
This is part of the financial institution’s efforts to promote SMEs and strengthen support for operators in the informal sector.
The funding support was given to beneficiaries through Unity Bank’s innovative loan product known as Shop Collateralised Facility (SHOCOF).
The package was designed to significantly improve access to financing, and further drive financial inclusion.
Originally introduced as a targeted intervention for traders in Southeast Nigeria, SHOCOF quickly gained traction and broad acceptance for its flexibility and tailored structure, prompting the Bank to expand the product nationwide.
Under the initiative, eligible customers can use their shops as collateral to access financing. The product simplifies access to credit by leveraging the commercial value and stability associated with fixed business locations, enabling traders to secure funds without the stringent collateral requirements associated with traditional lending structures.
The facility provides working capital support that enables beneficiaries to restock goods, increase inventory turnover, improve cash flow, and respond more effectively to market demand.
Recent reports indicate that more than 80 per cent of Nigeria’s small businesses operate informally, with many relying on personal savings and informal borrowing channels due to limited access to Bank credit. SHOCOF was developed to bridge this gap through a lending model tailored to the realities of market traders and small shop owners.
Speaking on the impact of the product, the Group Head, Risk Management, Unity Bank, Mr Olusegun Oladipo, said the Bank recognised the need for financing solutions aligned with the realities of informal sector businesses.
“SHOCOF was created to address a critical gap within the small business ecosystem by providing access to credit through a structure that traders can satisfactorily meet without much ado,” Mr Oladipo said.
“By recognising the value and stability embedded in their businesses, we have been able to support traders with the capital required to sustain and grow their operations,” he added.
Also commenting, the Divisional Head of SME and Retail Banking at Unity Bank, Ms Adenike Abimbola, said the nationwide adoption of the product reflects proper market segmentation to meet the growing demand for accessible financing among small business owners.
“What started as a targeted intervention in the Southeast, which quickly gained momentum because the product directly addressed the realities of everyday traders,” Ms Abimbola said.
Over the years, Unity Bank has continued to introduce targeted solutions aimed at empowering entrepreneurs, including its flagship Yanga account package developed to support female entrepreneurs.
The lender reaffirmed that expanding access to capital for underserved business segments remains critical to boosting trade, strengthening local economies, and driving sustainable economic growth.
By Aduragbemi Omiyale
The banking segment of Stanbic IBTC Holdings Plc, Stanbic IBTC Bank, is making home ownership in Nigeria seamless.
In partnership with the Ministry of Finance Incorporated Real Estate Investment Fund (MREIF), the lender is offering Nigerians highly attractive terms, including a fixed interest rate of 9.75 per cent, providing up to N100 million, with a flexible repayment period of up to 20 years. These features are well-suited to both consistent professional incomes and business owners.
The aim is to help professionals, entrepreneurs, and married couples in the country and the diaspora achieve homeownership with greater ease and confidence.
In a market where housing supply significantly lags demand and traditional mortgage penetration remains low, Stanbic IBTC Bank is enabling more eligible Nigerians with the financial capacity to take the important step toward ownership. The financial institution focuses on removing common barriers through clear processes and dedicated support.
Clients benefit from Stanbic IBTC’s comprehensive range of services, which covers pre-qualification, documentation support (including mixed-income scenarios), digital verification, and clear communication throughout.
Many applications are now progressing smoothly, with completion within three to four weeks, subject to the provision of required documents. This practical approach has made the process far more accessible for Nigerians both at home and in the diaspora.
As more professionals secure homes in high-growth areas, couples build family stability, and entrepreneurs expand their asset base, the positive impact is becoming increasingly visible.
Stanbic IBTC Bank’s consistent focus on transparency, efficiency, and client support is helping to make homeownership a realistic and rewarding choice for more Nigerians ready to build long-term wealth.
The company has achieved notable successes through the MREIF scheme, with many clients completing seamless ownership transitions, securing properties in strategic locations, and effectively converting rental expenses into valuable equity-building assets.
Interested individuals have been encouraged to explore this established offering by visiting the dedicated MREIF Home Loans page at https://www.stanbicibtcbank.com/mrief or contacting the nearest Stanbic IBTC Bank branch to begin the journey toward homeownership.
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