Effects of Bank Charges on Bank's Customers Saving and Income in Nigeria

Effective saving mobilization by the deposit money banks is a perquisite to achieve the macroeconomic objectives of price stability, full sustainable economic growth, full employment, and exchange rate stability. This study therefore investigates effect of bank charges on saving and income of bank’s customers in Nigeria. The study sampled 180 bank customers in Lagos state, and it was revealed that excessive bank charges is not only hindering effective saving mobilization in the country but also the financial inclusion policy of the Central Bank of Nigeria. It was further discovered that excessive bank charges are of greater concern to small savers like students and self-employed customers. The study therefore concludes that excessive and indiscriminate bank charges does not only cause more than 30 percent of Nigerian bank customers to switch to other banks but impacts their saving culture and income.