FUGAZ Records N102.96 Billion From Account Maintenance

Data shows that Nigerian tier-1 banks, also called FUGAZ, have reported to have surmounted a total of N102.96 billion in income from the account maintenance charged to customers for the first nine months of 2023.

This amount shows that account maintenance charges rose by 20.4% in 2023 when compared to the records of the corresponding year, which settled at N85.53 billion in the first nine months of 2023.

The names of the banks whose data are recorded for account maintenance charges include First Bank, United Bank for Africa, Guaranty Trust Holding Company, Access Bank, and Zenith Bank.

Records show that the listed bank's total account maintenance charges on customers amounted to 13.6% of the total fees and commission income in the first nine months of 2023, up from the 14.8% recorded in 2022.

Regarding account maintenance, which is in line with the CBN, the maintenance fees are being charged on current accounts only regarding customer-induced debit transactions to third parties and debit transfers/lodgements to the customer’s account in another bank, BusinessDay reports.

The total revenue generated from fees and commissions from the tier-1 banks rose to N755.61 in the first nine months of 2023 which was N579.01 billion in 2022.

FUGAZ Account Maintenance Analysis

Zenith Bank

Zenith Bank’s account maintenance generated 25.6% of the total fees and commission income in the first nine months of 2023 which signifies a 170 basis points increase from the corresponding year that contributed 23.9% in 2022.

Zenith Bank’s account maintenance fee increased to N33.33 billion in the first nine months of 2023 from the corresponding year which settled at N28.15 billion in 2022.

Zenith Bank’s total fee and commission income rose to N130.33 billion in the first nine months of 2023 from the corresponding year which settled at N117.9 billion in 2022.

Guaranty Trust Holding Company (GTCO)

GTCO’s account maintenance generated 19.8% of the total fees and commission income in the first nine months of 2023 which signifies a 40 basis points decline from the corresponding year that contributed 20.2% in 2022.

GTCO’s account maintenance fee increased to N18.04 billion in the first nine months of 2023 from the corresponding year, which settled at N15.88 billion in 2022.

GTCO’s total fee and commission income rose to N91.32 billion in the first nine months of 2023 from the corresponding year, which settled at N78.7 billion in 2022.

FBN Holdings

FBN Holdings account maintenance generated 10.5% of the total fees and commission income in the first nine months of 2023, which signifies a 140 basis point decline from the corresponding year, which contributed 11.9% in 2022.

FBN Holdings account maintenance fee increased to N15.07 billion in the first nine months of 2023 from the corresponding year, which settled at N13.15 billion in 2022.

FBN Holdings' total fee and commission income rose to N143.46 billion in the first nine months of 2023 from the corresponding year, which settled at N110.84 billion in 2022.

Access Holdings

Access Holdings account maintenance generated 10.5% of the total fees and commission income in the first nine months of 2023, which signifies a 350 basis point decline from the corresponding year, which contributed 14% in 2022.

Access Holdings account maintenance fee increased to N21.85 billion in the first nine months of 2023 from the corresponding year, which settled at N18.71 billion in 2022.

Access Holdings total fees and commission income rose to N208.18 billion in the first nine months of 2023 from the corresponding year, which settled at N133.49 billion in 2022.

United Bank for Africa (UBA)

United Bank for Africa’s account maintenance generated 8% of the total fees and commission income in the first nine months of 2023, which signifies a 100 basis point decline from the corresponding year, which contributed 7% in 2022.

United Bank for Africa’s account maintenance fee increased to N14.67 billion in the first nine months of 2023 from the corresponding year, which settled at N9.64 billion in 2022.