Users of Unstructured Supplementary Service Data (USSD) services in Nigeria have started getting notice of N6.98 charges for each transaction session.
This follows the agreement reached in March between the deposit money banks and the telecommunication firms after the intervention of the Central Bank of Nigeria (CBN) and the Nigerian Communications Commission (NCC), in a dispute about accumulated debts.
A notice received by a bank customer read, “Welcome to USSD Banking. Please note, a N6.98 network charge will be applied to your account for banking services on this channel.”
READ: CBN begins dialogue with industry stakeholders over USSD charges
The CBN and the NCC had in a joint statement said that the introduction of the new USSD charges is to promote transparency adding that it would be collected on behalf of Mobile Network Operators (MNOs), who provide infrastructure for the services to operate, directly from customers’ bank accounts.
The joint statement by CBN and NCC read, ‘’We are pleased to announce that after comprehensive deliberations on the key issues, a resolution framework acceptable to all parties was agreed thus:
“Effective March 16, 2021, USSD services for financial transactions conducted at DMBs (Deposit Money Banks) and all CBN-licensed institutions will be charged at a flat fee of N6.98 per transaction. This replaces the current per session billing structure, ensuring a much cheaper average cost for customers to enhance financial inclusion.
READ: Banks, MTN reach agreement, restore suspended USSD services
‘’To promote transparency in its administration, the new USSD charges will be collected on behalf of MNOs (Mobile Network Operators) directly from customers’ bank accounts. Banks shall not impose additional charges on customers for use of the USSD channel.”
What you should know
USSD is a Global System for Mobile Communications (GSM) protocol that is used to send text messages and is similar to Short Message Service (SMS). USSD uses codes made up of the characters that are available on a mobile phone.
It is also a critical channel for delivering financial services, especially for those who do not have access to physical banking infrastructure or internet services.
The CBN and NCC had said that the USSD channel is optional, as several alternative channels such as mobile apps, internet banking and ATMs may be used for financial transactions.
However, analysts have raised some concerns over the effect of the new charge on CBN’s effort to encourage financial inclusion, especially for individuals who do not have access to internet services.
Very pathetic to say the least. Always devoicing avenues to put holes in the people’s pocket. We are charged for depositing cash, charged for withdrawing, charged SMS alert, now a flat rate for USSD transactions. We would not be charge for breathing the air and receiving sunshine. The End of USSD transactions for me. Period.
The charges that was been deducted before on each USSD transaction is for what?. Does it means that banks alone are the one that eat all those money.
Please we need proper explanation by the concern authorities.
Thanks
It’s just a pity that we have merciless administrators in nearly all the power corridors of Nigeria. You people are just adding to the burdens of the masses of Nigerians on a daily basis to enrich the few super rich. Electricity tariff goes up monthly, with the notions that what are they going to do? From the local government to the federal, it’s burden after burden, the network providers and the banks have now conspired to inflict more pains on us, still to enrich the super rich. The Bible says whosoever afflict the poor, shall cry without help coming his ways. No problem, let the people and the government continue to do it their own ways, God will will soon hear the cries of our Hebrews in Egypt. And when it happens, both the Pharaoh and his chiefs will bear the pains and agony.
The time frame allowed by some banks to do the transfer is so short and if Don’t go through they still charge you some banks have have internet access problem they still charge CBN should into that
This is serious o, how can we be paying borrowed money by federal government through series of charges by CBN, Banking system in Nigeria is worst, they are just deducting our money instead of given us interest on our savings. This country is a scammer in every aspect.
We are broke students for fucks sake
God go punish una all for dis country,,una no provde for d poor but una de extra from d poor,,