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back1. What is VAT?
VAT (Value Added Tax) is a Government-mandated tax applied to certain goods and services in Nigeria. Moniepoint collects it and remits it to the Federal Government.
2. Why am I seeing VAT charges now?
FIRS now requires VAT at 7.5% to be applied to certain banking and value-added service fees. This is not a Moniepoint price increase.
3. Which services attract VAT?
VAT applies to service fees such as:
POS transaction fees
Electronic/mobile banking fees
USSD transaction fees
Moniebook subscription
Account maintenance fees
Loan processing and documentation fees (VAT applies to processing/documentation only, not the loan interest)
4. Which services do NOT attract VAT?
Interest on loans and advances
Interest on deposits and savings
These services remain VAT-free.
5. Is Moniepoint increasing prices?
No. VAT is a government tax, not a Moniepoint fee increase. Your service charges remain the same.
6. Does Moniepoint keep this VAT?
No. Moniepoint collects and remits VAT in full to the Federal Government.
7. How much is VAT?
VAT is charged at 7.5% of the applicable service fee and will be shown on your receipt and account statement.
8. Why is loan interest not VATable?
Loan interest is considered a financial return, not a service fee, so it is exempt from VAT.
9. Will VAT appear on my receipt or statement?
Yes. VAT will be clearly shown separately on your receipt and account statement for transparency.
10. Who charges VAT?
The Federal Government charges VAT. Moniepoint only collects it on behalf of the government.
11. What does “Account maintenance fee” imply?
An account maintenance fee is a charge for the ongoing service of managing and maintaining your account. This includes keeping your account active, providing statements, enabling transactions, and supporting account-related services. VAT is applied to this fee because it is a service, not your deposit or interest.
12. Why am I seeing VAT on loan processing/documentation fees?
VAT applies to the service of processing and reviewing loan documents, not the loan interest itself.
