End User Billing (EUB) Policy for USSD Banking Transactions in Nigeria

Currently, when you use USSD for any transaction, you pay through your airtime. But when you use it for banking transactions, most banks deduct the charge from your bank account. This means that you are not in control of your spending, and you pay whatever you are charged.

With the EUB, now you get to pay for USSD with your airtime like you do on other transactions via your mobile phone. This gives you several advantages, like:

1. Clarity of your billing: You determine what you will spend before a USSD session, and you know exactly what you have spent immediately you conclude the transaction. Just like with your calls, SMS and data sessions. You do not have to wait till deductions are made from your bank account.
2. There will be no more issues around USSD deductions from your bank account.
3. Opt-in/Opt-out Options: You are free to opt-in or out of using USSD services for banking transactions.

The EUB model is an important change in how customers are charged for transactions. It is being introduced to improve consumer quality of experience and to put customers in better control of their spending. There will be no more deductions from your bank account for USSD. The model also helps to resolve long-standing disputes over USSD service debts between banks and Mobile Network Operators (MNOs). The Central Bank of Nigeria (CBN) and the Nigerian Communications Commission (NCC) have approved this change.

The NCC and CBN have put several measures in place to protect consumers. These include the following:

1. Better Information: Your banks must inform you of the switch to EUB before implementation. You are free to stop using the channel if you do not wish to pay through your airtime.
2. Better value: USSD will continue to be charged at N6.98k per session. A session can last up to 120 seconds, so you do not have to rush. This gives you better value as other transactions are charged at N1.63 per session of 20 seconds. This gives you a discount since you are paying N6.98 instead of N9.78.

If you experience any challenges in accessing the USSD platform, reach out to your network operator; if you have challenges whilst transacting on the USSD platform, please contact your bank directly for assistance. Both Banks and Telecom Operators are obligated to provide support and ensure that consumers can effectively use USSD channels without issues.

Under both CBN and NCC Regulations, banks and telecom operators are required to notify customers in the event that their banking or USSD services experience downtime.

Under the EUB model, you should not be double-billed for the same transaction. To ensure this, the CBN and NCC have put in place several safeguards. These include the following:

• Clear rules of engagement: The CBN has directed that your bank must not charge you for the USSD transaction when you are on EUB. Only the MNO can charge you, in the same way they do for your voice, SMS and data transactions. NCC has since directed that MNOs must provide you with an end-of-activity notification telling you exactly what you have been charged. If you are charged for USSD by your bank, please report immediately to the CBN via phone at +234-70-0225-5226 or email at [email protected].
• Regulatory Oversight: The CBN and NCC are actively overseeing the transition to ensure compliance with these billing rules. Non-compliance by banks or telecom operators could lead to regulatory sanctions, reinforcing the commitment to prevent double billing and protect consumer interests.
• Transparency in Communication: Banks and telcos are expected to communicate clearly with consumers regarding the new fee structure, ensuring that users understand they will only be charged once per transaction.

MNOs, individual banks and their respective Value-Added Service (VAS) integrators are working to ensure a seamless transition to EUB. Each bank is expected to formally notify its customers once all the mandatory formalities are completed. These formalities include the completion of technical integration and end-to-end testing, as well as the signing of Service Level Agreements (SLAs) to guarantee superior customer experience and consumer protection. Your bank will therefore notify you of the actual commencement date after all the conditions have being met.