NCC’s EUB Policy: What Changes in USSD Transactions Mean for You

The Nigerian Communications Commission (NCC) has introduced a new billing model for USSD banking transactions, shifting charges from bank accounts to customers’ mobile airtime. This End User Billing (EUB) system, supported by the Central Bank of Nigeria (CBN), is designed to end longstanding disputes between banks and telecom operators over unpaid USSD fees.

Until now, banks have deducted charges directly from users’ bank accounts. With the new policy, mobile network operators (MNOs) will deduct USSD fees from users’ airtime instead.

“Instead, mobile network operators (MNOs) will deduct the transaction cost from a user’s airtime balance at the point of use, just like they do for voice calls or SMS,” the NCC said.

The NCC added that this will resolve recurring customer complaints and improve user experience. Customers are now free to decide whether to use USSD services based on their willingness to pay via airtime.

Banks are also mandated to inform users ahead of the switch. “This… gives users the freedom to decide whether they want to continue using the USSD for banking transactions,” the commission stated.

The cost of a USSD session remains N6.98 for 120 seconds. “This gives you better value as other transactions are charged at N1.63 per session of 20 seconds,” the NCC added.

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To prevent double billing, banks are barred from deducting charges under the new model. “If you are charged for USSD by your bank, please report immediately to the CBN,” the NCC advised.

The transition is ongoing, with technical and regulatory frameworks being finalized.