Imagine needing cash urgently, but the nearest ATM is miles away—and even if you find one, it’s out of service. 

This is the reality for millions in Nigeria, where POS (Point of Sale) terminals bridge the gap in financial access. But here’s the problem: rising transaction costs are squeezing wallets harder than ever.

This article offers a detailed look at POS charges in Nigeria for 2025, explains why fees are climbing, and shares tips to help you save money and avoid hidden costs. 

Let’s get started.

What Are POS Charges?

POS charges are the fees you pay when using Point of Sale (POS) machines for transactions. 

Think of them as the “convenience tax” for accessing cash and services. They typically include:

Service Fees

Set fees for processing transactions.

Maintenance Fees

Costs for ensuring machines stay operational.

Transaction Fees

Charges for cash withdrawals, deposits, and moving money between banks.

Why should you care?

In 2024, POS transactions hit ₦18 trillion—a 69% jump from 2023 (Nairametrics). 

With cash shortages and sparse ATMs (1 terminal per 5,581 people vs. 1 POS per 44 people), these fees add up fast. 

Let’s break down what you’ll have to pay in 2025.

A Detailed List of POS Charges in Nigeria (2025)

Here’s what some of the major players charge this year:

Supply Smart (Best for low fees + no telecom hassles)

Withdrawal Charges: A 0.5% fee applies, but it will not exceed ₦100 no matter the amount you withdraw.

Interbank Transfers Fees: A fixed fee of ₦25 is charged for each transfer you make to a different bank.

Transfer to POS: Each time you transfer money to a POS terminal, a fee of ₦15 is charged.

Bonus: Unlimited free data for agents.

Moniepoint (Budget-friendly for small transactions)

Withdrawal Charges: If you withdraw up to ₦20,000, you pay a 0.5% fee. For amounts over ₦20,000, the charge is a flat ₦100.

Transfer Fees: There is a flat rate of ₦20 for every transfer you make.

Utility Commission Rates: When buying airtime, the commission is 3% for MTN, 4% for GLO, 4% for Airtel, and 4.5% for 9Mobile.

Opay (Budget-friendly for small transactions)

Withdrawal Charges: The fee is 0.5% for amounts below ₦20,000. If you withdraw more than ₦20,000, it’s a flat charge of ₦100.

Deposit Charges: Depositing less than ₦5,000 costs ₦10, and for amounts from ₦5,001 to ₦10,000, it costs ₦20.

Utility Commission Rates: Similar to Moniepoint, with commission rates ranging from 3% to 4.5% depending on the network provider.

Baxi

Withdrawal Charges: If you take out less than ₦20,000, the fee is 0.55%. For amounts up to ₦100,000, there’s a flat fee of ₦100, and for amounts beyond, the fee is ₦150.

Transfer Fees: The cost for each transaction is ₦30.

FirstMonie (First Bank) (Simple flat rates for big withdrawals)

Withdrawal Charges: Withdrawing less than ₦5,000 costs ₦50. If you withdraw between ₦5,001 and ₦30,000, you pay ₦100, and for amounts over ₦30,000, it is ₦200.

Bill Payment Fees: There is a flat rate of ₦100 for paying bills.

Payforce

Withdrawal Charges: For amounts under ₦5,000, the charge is ₦30. If you withdraw up to ₦100,000, it’s a flat ₦110, and for sums over ₦100,000, the charge is 0.11%.

Transfer Fees: The fee for each transfer is a flat ₦25.

Pro Tip: Stick to providers like Supply Smart for small, frequent transactions. For bulk withdrawals, FirstMonie’s flat rates save cash.

FURTHER READING

How To Start A POS Business in Nigeria: 8 Proven Tips

Why Are POS Fees Skyrocketing in 2025?

Blame two regulatory shakeups:

ATM Withdrawal Fee Hike (February 2025)

The cost to take out money from ATMs has increased. This means POS operators pay more to get cash, causing them to raise fees for users.

Telecom Tariff Increase (January 2025)

The Nigerian Communications Commission (NCC) allowed telecom service charges to increase by 50%. This affects POS operators who depend on internet and SMS services for transactions, making their operations costlier.

According to a YouTube video, Ogungbayi Ganiyu from Association of Mobile Money & Bank Agents in Nigeria (AMMBAN) warns that these increased expenses will likely be passed down to consumers, meaning people will pay more.

Hidden Fees That Might Sneak Up on You

Watch Out! Even if you know the rates, these charges can ambush your wallet:

Maintenance Fees: These fees are taken from your account to ensure the POS device stays in good working order.

Network Costs: If the connection is poor or a transaction fails, you might end up paying more than expected.

How to Fight Back:

• Choose providers like Supply Smart (no data costs, no repossession).

• Compare fees before swapping providers.

Why This Matters for You

For Businesses

POS systems are lifelines in cash-scarce areas, but profit margins are razor-thin (0.5%–3% per transaction). Rising ATM fees from CBN mean every withdrawal cuts deeper into earnings.

For Consumers

In Lagos, withdrawing ₦5k could cost ₦500—a 10% fee! With POS terminals outnumbering ATMs 126:1 (Techpoint Africa), you need to be informed

Final Thoughts: How to Stay Ahead

POS fees aren’t going down anytime soon. But you can outsmart the system:

• Compare providers (use our breakdown above!).

• Avoid peak hours to dodge network fees.

• Partner with reliable providers (hint: Supply Smart’s unlimited data and no targets = less stress).

The Bottom Line: Knowledge isn’t just power—it’s profit. By understanding fees, you’ll save money, spot unfair charges, and demand better service.