FG’s ₦50,000 relief: Will POS agents deduct money when you withdraw your grant?

Nigerians selected for the Federal Government’s ₦50,000 relief programme may have to pay normal Point-of-Sale (POS) withdrawal charges when collecting their money in cash, despite the government’s assurance that the grant itself is free.

The Federal Ministry of Humanitarian Affairs and Poverty Reduction clarified that beneficiaries of the National Emergency Relief and Stabilisation Intervention (NERSI) will receive the full ₦50,000 in their designated mobile wallets without deductions.

However, the ministry explained that POS agents may charge their usual service fees when beneficiaries choose to withdraw cash.

This means that while the government does not deduct money from the grant before payment, recipients may incur transaction costs when converting their wallet balances into physical cash.

The ministry advised beneficiaries to confirm the withdrawal fee before completing any transaction.

It also warned that no POS agent or intermediary is authorised to demand a special registration or processing fee to release the relief payment.

According to the ministry, each selected beneficiary is entitled to receive the full ₦50,000 grant.

The money is credited directly to a mobile wallet operated by an approved financial service provider.

The government explained that the intervention does not require beneficiaries to pay registration, acceptance or processing fees.

It also clarified that the support is a grant rather than a loan, meaning recipients are not expected to repay it.

The official programme guidelines distinguish between receiving the government support and paying for optional financial transactions.

While accepting and receiving the grant are free, withdrawing cash through a POS operator may attract the operator’s normal service charges.

This distinction is important for beneficiaries who may assume that every transaction involving the ₦50,000 must be completely free.

The Federal Government has not published a fixed POS withdrawal fee specifically for NERSI beneficiaries.

Instead, the ministry explained that agents may charge their usual withdrawal fees, as they would for other transactions.

This means the amount a beneficiary pays may depend on the agent, location, payment method and applicable transaction charges.

For example, a beneficiary may decide to withdraw ₦10,000, ₦20,000 or the entire ₦50,000.

The applicable fee should be confirmed before the transaction is authorised.

The government has not stated that every POS agent must charge the same amount.

Consequently, claims that all NERSI beneficiaries must pay a particular fixed fee to withdraw their grants should be treated cautiously unless supported by an official announcement.

Recipients may compare the charges offered by different authorised agents before deciding where to withdraw.

According to the official NERSI portal, beneficiaries can access their grants through mobile wallets linked to their registered phone numbers.

Once the money has been credited, recipients can transfer the desired amount to an authorised POS agent.

The agent can then provide the equivalent amount in cash, subject to the agreed transaction charges.

Beneficiaries can initiate transfers using their designated payment providers’ USSD services or official mobile applications.

The government has approved five financial service providers for the intervention: ALAT by Wema Bank, MoMo PSB, NairaGram, OPay and Moniepoint.

Recipients should ensure that they are using the correct provider and verify the recipient’s account details before transferring funds.

They should also confirm that the agent is ready to complete the cash withdrawal.

The ministry warned beneficiaries against disclosing their PINs or one-time passwords to POS operators.

The government explained that recipients are not required to withdraw their grants through POS agents.

Beneficiaries can transfer money to bank accounts or spend directly from their mobile wallets using supported payment channels.

For instance, a recipient who wants to make a payment electronically may be able to complete the transaction without first converting the money into cash.

However, whether this reduces the overall transaction cost depends on the charges imposed by the relevant payment provider.

The ministry’s guidance does not establish that all bank transfers or wallet transactions are free.

Beneficiaries should therefore review applicable fees before authorising payments.

The government also confirmed that recipients can withdraw only part of the grant and leave the remaining balance in their wallets.

This provides flexibility for people who do not need the entire amount immediately.

The ministry has warned Nigerians against individuals claiming that beneficiaries must pay money before their grants can be released.

According to the government, no agent, official or third party can influence beneficiary selection or accelerate payments in exchange for money.

The programme does not operate a public registration process, and eligible individuals are contacted through authorised financial service providers.

Selected beneficiaries must give consent before their grants are credited.

However, no payment is required to accept the grant or secure inclusion in the beneficiary list.

The government also warned against messages requesting beneficiaries’ banking passwords, PINs, BVNs or one-time passwords.

Anyone demanding such information should not be treated as an authorised representative of the programme.

Beneficiaries who encounter demands for unusual fees should first distinguish between normal withdrawal charges and payments supposedly required to unlock the government grant.

The ministry permits ordinary POS transaction charges but does not authorise special NERSI processing fees.

Recipients who are uncertain about a demand should avoid completing the transaction until they have verified the information.

They can contact their designated financial service providers or the official NERSI helpline on 0700-022-2222.

The ministry has also advised Nigerians to report suspected fraud involving individuals who claim they can facilitate payments.

Further information is available on the official NERSI website.

For beneficiaries, the key distinction is that the Federal Government says the full ₦50,000 will be credited without deductions, but normal cash withdrawal charges may still apply.