By Joy Baba-Yesufu
CBN and NCC has implemented End User Billing (EUB) model to enhance transparency and improve customer experience
The End User Billing (EUB) policy for Unstructured Supplementary Service Data (USSD) banking in Nigeria marks a significant shift in how consumers are charged for mobile banking transactions. Jointly endorsed by the Central Bank of Nigeria (CBN) and the Nigerian Communications Commission (NCC), the policy aims to improve customer transparency, reduce disputes, and give users more control over their spending.
Under the current system, USSD charges for banking services are often deducted directly from customers’ bank accounts, which has led to complaints about lack of transparency and unauthorized deductions.
The new EUB model ensures that charges for USSD banking transactions will now be deducted from users’ airtime, just like with regular voice calls or SMS. This change brings several key benefits:
Clearer Billing: Users know what they will be charged before initiating a USSD session and can track charges in real-time.
Improved Control: Customers can opt in or opt out of using USSD banking services.
No More Bank Deductions: Banks will no longer charge customers from their accounts for USSD usage.
The new model was developed as a collaborative solution to long-standing issues between banks and mobile network operators (MNOs) over unpaid USSD service debts. More importantly, it puts consumers at the center by offering better transparency and a simplified charging system.
“The EUB model ensures customers pay only once and directly through airtime, just like with other telecom services,” says the regulators.
The CBN and NCC further introduced several measures to protect consumers during this transition:
Advance Notification: Banks must inform customers before switching to EUB billing.
Fixed and Transparent Pricing: USSD charges remain capped at N6.98 per 120-second session. This is cheaper than equivalent charges at N1.63 per 20 seconds (N9.78 total).
Oversight and Accountability: The regulators will monitor compliance, and any violation by banks or MNOs could result in sanctions.
If you can’t access USSD services, contact your mobile network operator.
If you face transaction-related issues, contact your bank directly.
If you experience unauthorized deductions or double billing, report to the CBN at +234-70-0225-5226 or via email at contactcbn@cbn.gov.ng.
Under the EUB framework, only mobile network operators are authorized to deduct charges from airtime. Banks are strictly prohibited from billing customers for USSD sessions once the EUB model is in effect.
The implementation timeline will vary by bank. Each bank must complete:
Technical integration, End-to-end system testing,
Signing of Service Level Agreements (SLAs) with their service providers.
Customers will receive formal notifications from their banks once these steps are completed.
