NCC New Rule: Bank Customers to Pay USSD Charges Using Airtime

The Nigerian Communications Commission (NCC) has mandated that Deposit Money Banks (DMBs) will now deduct charges for Unstructured Supplementary Service Data (USSD) transactions directly from users’ mobile airtime.

Previously, these charges were deducted from customers’ bank accounts.

However, an email from United Bank for Africa (UBA) to its customers on Tuesday, June 3, 2025, confirmed that this practice has changed.

UBA stated that the new directive took effect on the same day.

The statement reads: “In line with the directive of the Nigerian Communications Commission, please be informed that effective June 3, 2025, charges for USSD banking services will no longer be deducted from your bank account.

“Going forward, these charges will be deducted directly from your mobile airtime balance in accordance with the NCC’s End-User Billing model. Under this new billing structure, each USSD session will attract a charge of n6.98 per 120 seconds, which will be billed by your mobile network operator.

“You will receive a consent prompt at the start of each session, and airtime will only be deducted upon your confirmation and availability of the bank to fulfil this service. If you do not wish to continue using USSD banking under this new model, you may choose to discontinue use of the USSD channel.”

UBA said customers can continue to use other digital banking options and the internet banking platform for convenience.

The latest directive may be another move by the commission to address the historical USSD payment conflict between Mobile Network Operators and commercial banks.

In December 2024, the Central Bank of Nigeria and the NCC directed mobile network operators and DMBs to resolve the long-standing N250bn USSD debt.

Following threats by telcos to withdraw services over the debt accumulated by banks, the NCC, in January, threatened to suspend the USSD service and publish a list of banks still owing telcos.

NCC, the country’s telecommunications regulator, had previously intervened in a dispute regarding Unstructured Supplementary Service Data (USSD) debt.

On January 15, the NCC directed telecommunication companies (telcos) to disconnect the USSD codes of nine banks by January 27 due to outstanding payments.

By February 28, MTN Nigeria reported that it had received $32 billion out of $72 billion owed by banks for USSD services.

Telcos have consistently voiced their concerns about this debt, prompting concerted efforts from various stakeholders in the sector to resolve the issue.