House Orders Probe of Nigerian Banks Over Arbitrary Charges

By Oluwakemi Kindness

The House of Representatives has resolved to investigate the arbitrary and unexplained charges imposed on customers by commercial banks across Nigeria.The resolution followed a motion of urgent public importance moved by Mukhtar Tolani Shagaya, representing Ilorin West/Asa Federal Constituency of Kwara State.

Presenting the motion, Shagaya lamented the rising complaints from customers over multiple and often duplicated deductions such as SMS alerts, card maintenance fees, account maintenance charges, transfer fees, and stamp duties.

He noted that many of these charges violate existing guidelines issued by the Central Bank of Nigeria (CBN), warning that unchecked practices by banks could erode public trust in the financial system, harm small businesses, and frustrate financial inclusion efforts.

The House, adopting the motion, urged the CBN to publish a simplified list of all approved bank charges and enforce sanctions against any bank found in violation. It also directed the apex bank to establish a customer complaints redress mechanism to ensure accountability and consumer protection.

An amendment to the motion, moved by Wanjiku Eze and seconded by Olamijuwon Alao- Akala expanded the oversight to include the Committee on Banking Institutions alongside the Committee on Banking Regulation.

The committees were mandated to invite the CBN and major commercial banks for an investigation and to report back to the House within four weeks.

Lawmakers emphasized that the move aligns with the National Assembly’s constitutional duty to protect citizens from exploitative financial practices and strengthen consumer confidence in the banking sector.