USSD: Telecom subscribers welcome new billing model,
By Prince Osuagwu
TELECOMMUNICATIONS Subscribers in the country will now have to spend approximately N7 worth of airtime each time they carry out money transfers on their mobile phones.
This is contained in the announcement of a new End User Billing EUB model on the Unstructured Supplementary Service Data, USSD transactions by telecom operators, yesterday.
However, the new model spares the subscribers the complaints of alleged arbitrary deductions from their bank accounts and hands them over the power of determining how much to spend.
Meanwhile, they have challenged the operators to ensure the money recouped from these charges would be used on network optimization to avoid glitches which can frustrate smooth USSD transactions.
President of National Association of Telecom subscribers in Nigeria, NATCOMs, Chief Deolu Ogunbajo, told Vanguard that the new model is a welcome development to the subscribers but warned the telcos to make good use of the gains of direct deduction or face the wrath of the subscribers should their networks freeze during USSD transactions.
Yesterday, the telcos made a clarification that the End-User Billing, EUB, means that instead of the banks charging subscribers and later remit percentage to the telcos who provide the USSD backbone, the telcos will now deduct the money directly from subscribers.
This agreement was reached after the Central bank of Nigeria, CBN and the Nigerian Communications Commission, NCC waded into a protracted fight between the telcos and banks over a staggering N250 billion USSD debt which threatened the stability of both sectors since 2020.
A few weeks back the banks suddenly informed subscribers that USSD charges will be from their airtime directly. However, the telcos kicked against it on the ground that the migration would only commence when the banks have cleared their USSD debts and as well meet stipulated agreement between both parties on the modalities.
Apparently, the banks having met the agreement terms, the telcos yesterday came up with a proper announcement to their subscribers, making clarifications on the new payment model to avoid ambiguity.
Making the announcement under their umbrella body, the Association of Licensed Telecom Operators of Nigeria ALTON, the telcos noted that this transition marks a significant milestone in the evolution of Nigeria’s digital financial ecosystem and is being implemented per the Determination of USSD Pricing and Services issued by the Nigerian Communications Commission (NCC).
In a statement signed by the Association’s Chairman and Publicity Secretary, Engr Gbenga Adebayo and Damian Udeh, respectively, the telecom body revealed that the Determination was developed in collaboration with the Central Bank of Nigeria (CBN) and other key stakeholders to ensure a sustainable, transparent, and customer-friendly framework for USSD service delivery, adding that the USSD services play a vital role in expanding access to financial services, particularly for unbanked and underbanked populations.
Part of the statement reads: “The previous corporate billing model where banks were billed by telecom operators led to prolonged disputes over unpaid charges, service interruptions, and uncertainty for customers.
“To address these challenges, the NCC’s 2025 Determination introduced the End-User Billing model, which allows mobile network operators to charge customers directly for USSD sessions. To achieve the implementation of the EUB model, the CBN and NCC have stipulated that only banks that meet certain regulatory and operational conditions are permitted to migrate.
“One of such conditions is the notification to customers of the billing change in advance, and to ensure that customers are fully aware of the new airtime-based charges and how they will be applied. Accordingly, under the new billing model, USSD charges will be deducted directly from the customer’s airtime balance, not from their bank account, and each USSD session will attract a charge of ¦ 6.98 per 120 seconds”.
To enjoy the service, ALTON said customers will receive a prompt to opt in and approve the charge before any deduction is made, and there will be no double billing as billing will only occur for successful sessions via airtime deductions. ALTON wishes to reiterate that this change does not affect the availability or functionality of USSD banking services, as customers can continue to use their bank’s USSD codes as usual, provided they have sufficient airtime. To ensure a smooth transition, ALTON advises customers to follow these support guidelines, including, “For access issues (e.g., inability to dial USSD codes), contact your mobile network operator; for transaction-related issues (e.g., failed transfers or service errors), contact your bank’s customer service; both banks and mobile network operators are required to provide responsive support and ensure that customers can access and use USSD services without disruption.
According to the telcos, alternative digital banking channels such as mobile apps, Internet banking, and ATMs remain fully operational and available for customer convenience.
ALTON reiterates its commitment to working closely with the NCC, CBN, financial institutions, and other stakeholders to ensure that this transition is seamless, equitable, and beneficial to all parties, especially the end users.
“We remain dedicated to promoting transparency, operational efficiency, and consumer protection across Nigeria’s telecommunications and digital finance sectors,” it stated.
Interswitch launches Pension-Remit to simplify pension contribution remittance
Interswitch has launched Interswitch PensionRemit, a fully automated platform designed to help employers comply with the recently introduced Pension Contribution Remittance System (PCRS).
The new system, mandated by the National Pension Commission (PenCom) and the Pension Fund Operators Association of Nigeria (PenOp), took effect on June 1, 2025.
Fully compliant with the PCRS framework, Interswitch PensionRemit is an approved Payment Solution Service Provider (PSSP) authorized to operate under the new system. Designed for ease and efficiency, the platform enables employers to upload contribution schedules, validate Retirement Savings Account Personal Identification Numbers (RSA PINs) and Pension Fund Administrator (PFAs) in real time, and complete secure payments, all in one seamless flow.
Speaking on the launch, Muyiwa Asagba, Managing Director, Commercial Inclusion (Interswitch Inclusion), said: “Our focus has always been on removing friction and unlocking growth for businesses. With Interswitch PensionRemit, we are delivering a digital infrastructure that empowers employers to meet their pension obligations effortlessly and at no cost. This is in line with our mission to drive inclusive financial participation through innovation.”
Osasere Atohengbe, Vice President, Sales and Account Management, Interswitch, said that the product was developed with both vision and practicality in mind.
“We built Interswitch PensionRemit with employers and the future in mind, to boost our drive to address long-standing pain points in the pension remittance process. The platform equips both large organisations and small businesses with the tools they need to comply with PenCom’s new mandate in the most efficient way possible.”
Built to meet the evolving needs of large enterprises, corporates, micro, small, and medium-sized businesses (MSMEs), and service providers across Nigeria, PensionRemit offers a suite of benefits designed to eliminate friction and boost compliance.
These benefits include a streamlined remittance process aligned with PCRS guidelines, real-time delivery, tracking and confirmation of schedules, automated audit trails with instant receipts, zero platform fees for employers, and a reduced compliance and reporting burden.
The platform also serves a broader ecosystem, including payroll service providers, human resource software and enterprise resource planning vendors, offering seamless integration of pension compliance into financial and administrative workflows.
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By Prince Osuagwu TELECOMMUNICATIONS Subscribers in the country will now have to spend approximately N7 worth of airtime each time they carry out money transfers on their mobile phones. This is contained in the announcement of a new End User Billing EUB model on the Unstructured Supplementary Service Data, USSD transactions by telecom operators, yesterday. […]
The post USSD: Telecom subscribers welcome new billing model appeared first on Vanguard News.
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