How to Set Daily Bank Transaction Limits in Nigeria
Daily transaction limits determine how much money can be transferred or spent through a banking channel within a particular period. Nigerian banks use transaction limits as part of their banking controls, while customers may also have the ability to request lower or higher limits depending on the bank, account type and authentication method.
A transaction limit can apply to USSD transfers, mobile banking, internet banking, ATM withdrawals, POS transactions or card payments. The limit for one channel does not necessarily represent the limit for the entire account.
What Is a Daily Transaction Limit?
A daily transaction limit is the maximum amount that can normally be processed through a specified banking service during a day. For example, a bank may have one limit for USSD transfers and another for card transactions.
Some banks also use separate per-transaction and daily limits. This means a customer may be allowed to transfer ₦500,000 in one transaction but still be subject to a lower total daily amount depending on the applicable account rules.
Why Banks Use Transaction Limits
Transaction limits help reduce the potential financial impact of unauthorized transactions. If someone obtains access to a customer’s banking credentials, a lower limit can restrict how much can be moved through the affected channel.
Limits also help banks manage transaction risk and comply with regulatory requirements.
Can Customers Choose Their Own Limit?
In some circumstances, customers can request or set a lower personal transaction limit. The Central Bank of Nigeria has stated that banks must allow customers to set lower personal transaction limits, subject to verification and risk assessment, while applicable regulatory ceilings remain unchanged.
This means a customer may be able to reduce a limit for security purposes, but a self-selected lower limit does not automatically mean the bank will permit transactions above the applicable regulatory or product ceiling.
How to Set a Lower Transaction Limit
Step 1: Open Your Bank App
Sign into the official mobile banking application and look for options such as Settings, Security, Transaction Limits or Account Management.
Step 2: Select Transaction Limit
Choose the transaction type you want to control. Depending on the bank, this may include transfers, card payments or other electronic transactions.
Step 3: Enter the New Limit
Set an amount that matches your normal banking requirements. A lower limit can reduce your exposure if your credentials are compromised.
Step 4: Complete Verification
The bank may require OTP, token, PIN, biometric or another authentication method before applying the change.
How to Increase a Transaction Limit
Increasing a limit may require additional identity verification or an indemnity. The procedure differs from bank to bank.
UBA, for example, publishes different limits based on PIN, OTP and Secure Pass authentication. Its official information also states that customers seeking higher limits can contact a business office or customer fulfilment centre to complete the required process.
GTBank’s current *737 information also shows different authentication requirements depending on the amount transferred.
USSD Transaction Limits
USSD limits can be different from mobile-app limits. For example, UBA currently publishes USSD transfer limits of ₦20,000 per transaction and ₦100,000 per day for certain PIN or Secure Pass configurations, while customers with Secure Pass and the required indemnity may have higher limits.
Because banks can change limits, customers should check the current information from their own bank before planning a large transfer.
Daily Limit vs Per-Transaction Limit
| Limit Type | Meaning |
|---|---|
| Per transaction | Maximum amount permitted in one transaction |
| Daily limit | Maximum cumulative amount allowed during the applicable day |
| Channel limit | Limit that applies to a specific service such as USSD |
| Card limit | Limit applying to ATM, POS or online card transactions |
Why a Transaction May Say Limit Exceeded
A limit error can occur because the transaction itself is above the permitted amount or because earlier transactions have already consumed part of the daily allowance.
For example, if your daily transfer limit is ₦1 million and you have already transferred ₦700,000, you may have only ₦300,000 of remaining capacity for that day.
What to Do If You Need to Transfer More
Check whether another banking channel has a different applicable limit. If the amount still exceeds the available limit, contact the bank and ask about the approved process for increasing the limit.
Do not attempt to bypass transaction limits by using another person’s account or sharing your banking credentials.
Security Benefits of a Lower Limit
A lower transaction limit can be useful for customers who rarely make large transfers. If an unauthorized person gains access to a banking channel, the lower limit can reduce the amount that may be transferred through that channel before the activity is detected.
Final Thoughts
Daily transaction limits are not identical across Nigerian banks, account types and banking channels. Customers should distinguish between regulatory ceilings, bank-set limits, per-transaction limits and personal limits.
Use the official mobile app, USSD service or customer-service channel provided by your bank to adjust a limit. Always verify the current rules before attempting a large transaction.