The End User Billing (EUB) policy for USSD banking in Nigeria is an important change in how customers are charged for transactions. It emerged as a consensus option between banking and telecommunications services sectors and their respective regulators (the Central Bank of Nigeria and the Nigerian Communications Commission) to address challenges around the seamless provision of USSD services. It is also designed to enhance customer experience and transparency.
What is the End User Billing (EUB) model?
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, meaning you are not in control of your spending.
With the EUB, you pay for USSD with your airtime like other mobile transactions. Advantages include:
a. Clarity of your billing: You know what you will spend before a USSD session and immediately after, just like calls, SMS, and data.
b. There will be no more issues around USSD deductions from your bank account.
c. Opt-in/Opt-out Options: You are free to opt-in or out of using USSD for banking transactions.
Why is the EUB model being introduced?
The EUB model is introduced to improve consumer experience and put customers in better control of spending. There will be no more deductions from your bank account for USSD. The model also resolves disputes over USSD service debts between banks and MNOs. The Central Bank of Nigeria (CBN) and the Nigerian Communications Commission (NCC) have approved this change.
What measures are in place to protect customer data?
NCC and CBN have put measures to protect consumers:
a. Better Information: Banks must inform you before switching to EUB, and you may stop using the channel if you wish.
b. Better value: USSD continues to be charged at N6.98k per session lasting up to 120 seconds. Other transactions cost N1.63 per 20 seconds, giving a discount since you pay N6.98 instead of N9.78.
What should consumers do if they experience challenges accessing the USSD platform or whilst transacting on the USSD platform?
If you have access issues, contact your network operator. For transaction issues, contact your bank. Both Banks and Telecom Operators must provide support.
Contact Information:
NCC Toll-Free: 622, Email: [email protected]
OR
CBN Phone: +234-70-0225-5226, Email: [email protected]
What happens if my bank's USSD service is unavailable?
Banks and telecom operators must notify customers if banking or USSD services experience downtime under CBN and NCC regulations.
Will consumers be double billed?
Under the EUB model, you should not be double-billed. Safeguards include:
a. Clear rules: Only the MNO charges for USSD. NCC directs that MNOs provide end-of-activity notifications. Report any bank charges immediately to CBN at +234-70-0225-5226 or [email protected].
b. Regulatory Oversight: CBN and NCC oversee compliance, with sanctions for non-compliance.
c. Transparency: Banks and telcos must clearly communicate the new fee structure, ensuring users are charged once per transaction.
When will airtime start being deducted for USSD transactions under the EUB Model?
MNOs, banks, and VAS integrators are ensuring a smooth transition to EUB. Banks will notify customers once technical integration, testing, and Service Level Agreements (SLAs) are completed. The formal notification will include the actual start date for airtime deductions.