Banks, Telcos to Start Deducting USSD Charges from Airtime June 3

Banks and telecom companies will begin deducting USSD banking charges directly from customers’ airtime instead of their bank accounts beginning from today, June 3.

USSD, otherwise Unstructured Supplementary Service Data, is a communications protocol used by GSM cellular telephones to interact with a mobile network operator’s computers.

First City Monument Bank (FCMB) announced this change in an e-mail message to customers, following a directive from the Nigerian Communications Commission (NCC).

Key details:

Each USSD session will cost ₦6.98 per 120 seconds, charged by your mobile network.

You will be asked to approve the charge before it’s deducted from your airtime.

If you prefer, you can use other banking channels like ATMs, mobile apps, or internet banking.

This change is part of a move to end the long-standing debt dispute between banks and telecoms over unpaid USSD fees.

As of late 2024, banks owed telecom companies ₦160 billion. For example, MTN was owed ₦42 billion by Nigerian banks.

By shifting USSD fees to customers’ airtime, the telcos aim to recover these debts and avoid future issues.