Kuda Bank Introduces Charges for Every N10,000, or Above Customer Deposit, Blames FG's New Tax

• Kuda Bank has announced a new bank charges for deposits in a statement to its customers
• The statement noted that the deposit charge includes all forms of deposit from N10,000 and above
• The popularity of fintech companies among Nigerians stemmed from commercial bank customers' constant complaints on charges

Kuda Microfinance Bank has stated that it will start charging N50 for all deposits of N10,000 or more made into customers’ Kuda accounts.

In a mail by the bank to its customers, it said that this is in line with the Federal Government’s stamp duty act.

According to the bank, the development would be applicable to deposits on electronic transfers, money added to accounts with a debit card as well as cash deposits made into account at any of its partner banks.

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Content of the notification to customers

The bank in the mail stated:

“In line with the federal government’s duty act. We‘re required by law to apply a N50 charge to all depositors of N10,000 or more made into your Kuda account.

"This charge will apply to the following kinds of deposits from Friday, July 15, 2022; electronic transfer, money added to your account with a debit card and cash deposits made into your account at any of our partner banks.”

The bank, however, stressed that it gains nothing from the N50 charges as everything would be remitted to the government’s pocket, Nairametric reports.

“We don’t gain anything from the charge. All financial institutions have been directed by the federal government to apply the charge, and we hand over the entire charge to the government.

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“We will continue to do our best to give you free financial services that you can rely on, including covering the cost of your first 25 transfers to other banks every month. Please note that the charge will apply from Friday, July 15, 2022,” it added.

Top savings platforms paying higher interest rates than banks in Nigeria

Legit.ng has reported that the Nigerian financial industry landscape is laced with interesting options, most of which give users the ability to make a choice that allows them optimal use.

While some banks in Nigeria are paying higher interest to depositors for saving money with them, others are just there to make profits and post interesting figures at the end of their financial year.

The minimum interest rate approved by a regulatory agency like the Central Bank of Nigeria (CBN) is 1.5 per cent.

Source: Legit.ng