Home Business MTN shelves plan to introduce N4 charge per USSD transaction on banking services
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MTN shelves plan to introduce N4 charge per USSD transaction on banking services

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MTN Nigeria
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MTN Nigeria

By Chioma Obinagwam

MTN Nigeria confirmed that it has halted the plan to charge N4 on USSD service as directed by the Body of Bank CEOs ( Cheif Executive Officers).

Confiance News gathered that Uto Ukpanah, the company’s secretary, made this known in a statement dated October 24th, 2019, posted on the company’s Twitter feed- @MTNNG.

“Following consultation with industry stakeholders, customer feedback and media reports related to the message notifying our customers of upcoming changes in our charging model for access to banking services via the USSD channel, We wish to confirm that the new charging model has not gone into effect,” the statement read in part.

The telecoms firm said it is committed to meet with all parties involved in the controversial N4 USSD charge and find a lasting solution to the issue.

“The SMS notification to our customers is reflective of this commitment and was sent after formal requests received from individual banks as well as the Body of Bank CEOs to implement end-user billing – a billing methodology where a customer is directly charged USSD access fee irrespective of the service charge that the bank may subsequently apply.”

Explaining how the USSD charge works, MTN Nigeria said up-till now banks have been enjoying the corporate billing plan of USSD at a wholesale price.

“We believe the costs associated with USSD banking services should be charged to the customer only once – as with other USSD based services we provide, which we believe has been adequately provided for within existing Central Bank of Nigeria (CBN) guidelines,” the telco said.

The Bank of Bank CEOs had proposed to telecom companies, including MTN Nigeria, to charge customers directly for USSD services. Industry players, stakeholders, and regulators frowned at it.

Both the CBN and NCC had asked parties to maintain the status quo.

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