Access, FBN Holdings, others rake N109b from account maintenance in 2022
By Felicia Nwosu
Access Bank Plc, FBN Holdings, Zenith Bank, GTCO, and UBA have raked in a whooping N109.31 billion from account maintenance and other customer account related charges in the outgone year. This represents a 17 per cent increase from N93.46 billion in the corresponding period of last year.
For Zenith Bank, its account maintenance fee rose to N28.14 billion in the nine months of 2022, 16.3 percent from N24.2 billion in the nine months of 2021, while its fees on electronic products move to N36.07 billion in the nine months of 2022, up 50.3 per cent from N24 billion in the corresponding period of 2021. On the other hand, its net income on fees and commission rose to N100 billion, a 27.7 per cent increase from N78.3 billion in the comparable period. Similarly, Zenith Bank’s gross earnings also stood at N620.5 billion in the nine months of 2022, up 19.6 per cent from N518.6 billion in the nine months of 2021.
Access Bank’s account maintenance charge and handling commission stood at N18.7 billion, a 15.4 percent increase from N16.2 billion in the nine months of 2021. Channels and other E-business income for Access Bank rose to N49.4 billion, 7.4 per cent from N46 billion in the reviewed period. Its fee and commission income grew by 17.6 per cent to N133.5 billion in the nine months of 2022 from N113.5 billion in the nine months of 2021. Net interest income grew 5 per cent to N280.5 billion from N267.6 billion in the comparable periods.
GTCO account maintenance charges amounted to N15.9 billion, a 22 percent increase from N13.02 billion in September 2021. E-business income dropped 3 percent to N15.18 billion from N15.67 billion in the reviewed period. Fee and commission income stood at N66.94 billion, an 18.2 per cent increase from N56.6 billion in the nine months of 2021.GTCO’s net interest income stood at N189.7 billion, a 16.4 per cent increase from N163 billion in the comparable period.
FBN Holdings’ account maintenance income amounted to N13.15 billion from N11.74 billion, indicating a 12 per cent increase year on year. The bank’s electronic banking fees dipped 5 per cent to N40 billion in the nine months of 2022 from N42.02 billion in the nine months of 2021. The bank’s fee and commission income surged to N110.8 billion, a 7 percent increase from N103.7 billion in the nine months of last year. FBN Holdings’ net interest income surged by 53 per cent to N249.5 billion from N163 billion in the comparable period.
Other banks include UBA which stood at N9.64 billion, a 35.6 per cent increase from the N7.11 billion in the nine months of 2021 for its account maintenance. FCMB’s account maintenance surged by 46 per cent to N4.96 billion from N3.4 billion in the nine months of 2021.
Experts have frowned on the near total dependence on account maintenance charges for banks’ revenue to the negligence of being agents of economic development through the development of the real sector. According to them, commercial banks are supposed to create wealth by supporting wealth-creation.
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