The Central Bank of Nigeria CBN has introduced a new security measure capping transactions on newly activated mobile banking apps at a maximum of ₦20,000, which is for both inflows and outflows, during the first 24 hours after activation.
This policy is detailed in a recent circular from the CBN’s Payments System Policy Department, dated March 12, 2026, and forms part of broader updates to instant payment guidelines aimed at curbing fraud in Nigeria’s digital banking space.
Fraudsters often exploit newly set up and installed banking apps which enable them to gain unauthorized access right after activation and drain funds quickly.
By imposing this temporary low cap, the CBN gives banks and customers a built-in “cooling-off” period to detect and respond to suspicious activity before larger transfers become possible.
The Normal transaction limits are up to ₦25 million daily for individuals and ₦250 million for corporates, subject to bank policies and customer adjustments, and the resumes automatically after the initial 24 hours
This affects;
-New bank accounts activated via mobile apps
-Existing accounts where the mobile banking app is newly installed or activated on a different device, for example, switching phones or adding a tablet
-The limit is set by each financial institution but cannot exceed ₦20,000 Banks may choose lower thresholds based on their risk assessment.
This does not apply to already-activated apps on the same device or to other channels like USSD, internet banking though similar enhanced authentication rules apply there or in-branch services.
Other Key Changes in the Guidelines
The same circular introduces additional fraud-prevention rules, many of which take effect from July 1, 2026.
-Mandatory device binding — A single banking app profile can only be active on one device at a time. Logging in on a new device triggers automatic re-authentication often with biometrics, liveness checks, MFA, tokens, etc, and concurrent use across devices is prohibited.
-Customer opt-out option for instant payments — Users can temporarily disable or opt out of instant transfers on their accounts.
-Voluntary limit adjustments — Customers can customize their own daily limits within the regulatory ceilings after enhanced due diligence.
-Stronger authentication requirements for online reactivations and high-risk actions.
These measures align with the CBN’s push for a more secure instant payment ecosystem amid rising digital fraud cases.
What Should Customers Do
– If you’re switching devices or setting up a new app, plan larger transfers for after the first 24 hours.
Contact your bank via customer service or app chat for specifics on how they’ll implement the cap—some may apply even stricter initial limits.
– Enable all available security features like biometrics, transaction alerts, and two-factor authentication to stay protected.
Administrator and Writer
