From June 3, USSD banking charges will be deducted directly from customers’ airtime, not bank accounts, as banks and telecoms act on an NCC directive to resolve ₦160bn debt dispute
[dropcap]U[/dropcap]SSD banking charges will now be deducted directly from customers’ airtime instead of their bank accounts, starting today, 3 June, following a directive issued by the Nigerian Communications Commission (NCC).
Also read: UBA unveils ‘Advance Top-Up’ on *919# USSD platform for instant airtime, data access
The change, announced by First City Monument Bank (FCMB) in a message to customers, affects all mobile phone users who rely on Unstructured Supplementary Service Data (USSD) for banking transactions.
Under the new arrangement, each USSD session will cost ₦6.98 per 120 seconds, charged by your mobile network provider.
Customers will be prompted to approve the charge before the amount is deducted from their airtime balance.
USSD, a protocol used by GSM phones to communicate with a service provider’s server, is widely used for financial transactions, especially in areas with limited internet access.
This adjustment is part of a broader directive from the NCC aimed at resolving long-standing debt issues between banks and telecom companies,
However, a prolonged dispute between banks and telcos over who should bear the cost of USSD sessions had led to mounting debts.
As of late 2024, Nigerian banks owed telecom companies ₦160 billion in unpaid USSD fees. MTN alone claimed it was owed ₦42 billion, prompting calls from the telecom industry for a sustainable payment model.
The shift to airtime deductions is expected to not only recover outstanding debts but also ensure uninterrupted access to USSD services going forward.
Also read: Nigerian Banks clear USSD debt, prevent service disruption
Customers who prefer not to incur USSD charges can opt for alternative channels such as ATMs, mobile banking apps, or internet banking platforms.
Oreoluwa is an accountant and a brand writer with a flair for journalism.
