Effect of Commercial Banks Charges on Customer Savings in Nigeria

Adewole Joseph Adeyinka; Omotayo Vincent Adewale; Adeyemo Adekunle Moshood; Emeje Susan Omotivie

doi:10.58709/kiujhu.v7i4.1550.7-19

Adewole Joseph Adeyinka Osun State University, Osogbo, Nigeria
Omotayo Vincent Adewale Osun State University, Osogbo, Nigeria
Adeyemo Adekunle Moshood Osun State University, Osogbo, Nigeria
Emeje Susan Omotivie Federal Polytechnic, Offa, Nigeria

DOI: https://doi.org/10.58709/kiujhu.v7i4.1550.7-19

Abstract

This study examined the effect of commercial banks charges on customer savings in Nigeria within the period of 2006 to 2021 and the objectives are to ascertain the relationship between commercial banks SMS charges and customer savings, to evaluate the relationship between commercial banks ATM charges and customer savings, to critically access the relationship between commercial banks account maintenance charges and customer savings. The study made use of secondary data and the data gathered were analysed using e-views Statistical Package. The findings revealed that Commercial Bank SMS charges has a significant effect on Customer’s savings, commercial banks ATM charges has a significant and positive relationship with commercial bank customer’s savings, commercial banks account maintenance charges do not have a significant influence on customer’s savings. The study therefore recommends that regulatory institutions, especially Central bank of Nigeria should intensify in monitoring of deposit money banks in the area of compliance with the extant rules and regulations about bank charges.

Keywords: Commercial Banks, Customer Savings, Intermediation, SMS Charges, ATM Charges, Account Maintenance Charges, Investment.