CBN to Address Customer Complaints Over Bank Charges, Transaction Alerts

The Central Bank of Nigeria (CBN) says it is stepping up efforts to address growing customer complaints over bank charges and the volume of transaction alerts received by customers across the banking system.

The Governor of the CBN, Olayemi Cardoso stated this at the end of the 305th Monetary Policy Committee meeting in Abuja, that the issue is receiving regulatory attention as part of broader consumer protection reforms aimed at improving trust and transparency in the financial sector.

He noted that some of the charges being queried by customers, including stamp duty deductions, do not originate from banks but from fiscal authorities, with deposit money banks only acting as collection agents.

Cardoso explained that the apex bank is engaging stakeholders in the banking industry through structured consumer experience platforms to reduce confusion and improve service delivery. According to him, one key concern under review is the increasing frequency of transaction alerts sent to customers, which often leads to misunderstanding and perceived duplication of charges.

He said the CBN is working with banks to streamline communication systems and explore consolidation of transaction notifications so that customers can clearly understand debits and associated charges without being overwhelmed by multiple alerts.

Beyond consumer complaints, the CBN also used the Monetary Policy Committee (MPC) briefing to highlight developments in the real sector, particularly increased lending to small and medium-scale enterprises (SMEs).

Cardoso said recent trends indicate a gradual diversification of bank lending portfolios, with more credit flowing into the SME segment as financial institutions reassess risk exposure and growth opportunities. He described SMEs as central to Nigeria’s economic development strategy, noting that improved access to credit remains a key priority for regulators and policymakers.

He disclosed that the CBN is complementing this shift through regulatory and institutional reforms, including collaboration with other agencies such as the Nigerian Communications Commission (NCC) to reduce operational bottlenecks affecting digital financial services and small business operations.

According to him, initiatives such as the Global Standing Instruction (GSI) framework and reforms within Development Finance Institutions (DFIs) are also aimed at improving credit recovery mechanisms and expanding access to financing for smaller businesses.

Cardoso stressed that the CBN sees itself increasingly as a catalyst rather than a direct lender, using policy tools and regulatory coordination to encourage commercial banks to expand credit to productive sectors of the economy, particularly SMEs.

He added that while challenges remain, early indicators suggest a rising willingness among banks to extend new credit to small businesses, reflecting a broader recalibration of lending strategies within the financial system.

The CBN reaffirmed its commitment to strengthening consumer protection, improving transparency in banking operations, and supporting inclusive credit growth as part of ongoing financial sector reforms.