Sterling Bank Scraps Transfer Fees on ‘OneBank’
Sterling Bank has scrapped transfer fees on its OneBank digital platform in a bold move that promises to reset the rules in the Nigerian banking sector.
Chief Executive Officer of the bank, Abubakar Suleiman, revealed this during a news conference in Lagos. He said the initiative reflects the bank’s commitment to affordable, accessible banking for Nigerians.
According to him, the bank is the first major Nigerian lender to forgo earning a cut from customer transactions on its own app, marking a significant shift in the industry. “We believe that banking should be a tool for economic empowerment, not a means of extracting wealth from our customers.
“This is not a gimmick. This is the future. And it starts now,” Suleiman said, stressing that Nigerians have paid fees for years.
“It’s time to put an end to this practice and give our customers the freedom to manage their finances without unnecessary charges,” he added. Suleiman explained that the decision stems from years of digital transformation using home grown technology.
He noted that the bank invested heavily in developing its own systems and platforms, rather than relying on third-party solutions. He said the bank built a custom callback system and migrated to a homegrown platform, supporting 50 times its current customer base.
According to him, this investment has enabled the bank to reduce costs and pass the savings on to customers. “The zero-transfer-fee policy applies exclusively to OneBank users, with new customers receiving a complimentary AfriGo debit card and lifetime fee-free transfers,” he said.
Suleiman said the move was an “economic statement,” taking sides with customers and small business owners tired of being overcharged.
“We’re not just talking about small change; we’re talking about significant amounts of money that can make a real difference in people’s lives.
“By removing transfer fees, we’re giving our customers more control over their finances and helping them achieve their goals,” Suleiman said.
Also, Growth Executive, Consumer and Business Banking, Obinna Ukachukwu, explained that the policy rewards loyal customers and invites new ones, offering lifetime benefits to those joining in April.
“We’re committed to building long-term relationships with our customers, not just transactional ones,” he said. Ukachukwu added that Sterling’s next steps involve adding more value, targeting individuals and businesses with tools to improve financial wellbeing.
The bank plans to launch new products and services, including digital payment solutions and microfinance options. According to him, the bank still bears transaction costs but believes the move is right, hoping others in the industry will follow suit.
“We’re willing to take a hit to our bottom line if it means creating a more customer-friendly banking environment,” Ukachukwu said. By scrapping transfer fees, Sterling maybe hoping to set a new standard for the banking sector. NGX Gains Weight as Investors Wealth Rises by N120bn Equities Investors Gain N378bn as GTCO, Zenith Boost Banking Index
