Guaranty Trust Bank to Deduct N6.98 USSD Fee from Airtime from June 18 2025

Guaranty Trust Bank (GTB) has informed its customers that it will begin deducting the N6.98 USSD transaction fee from their airtime balances starting from June 18, 2025. This change aligns with the new billing model for Unstructured Supplementary Service Data (USSD) banking transactions, making GTB the second deposit bank to adopt this airtime-based model.

The Nigerian Communications Commission (NCC) and the Central Bank of Nigeria (CBN) have been collaborating to address the persistent N250 billion USSD debt owed by commercial banks to telecom operators. This debt has been a significant issue, with mobile network operators (MNOs) like Airtel, MTN, and Globacom expressing concerns about its impact on their businesses. The operators had even threatened to shut down USSD services due to the financial strain, but interventions by government authorities prevented this.

In December, a joint statement from the NCC and CBN outlined a plan to resolve the dispute. The plan mandated that 85% of USSD debts accumulated after February 2022 must be settled by December 31, 2024, with commercial banks required to ensure that 85% of future invoices are paid within one month of issuance. Additionally, 60% of debts incurred before the implementation of Application Programming Interfaces in February 2022 must be finalized by January 2, 2025, with full settlement due by July 2, 2025.

To prevent a recurrence of such issues, the regulator ordered commercial banks to start deducting USSD transaction charges directly from users’ mobile airtime, marking a shift from the previous practice of deducting from bank accounts. This new model aims to ensure that telecom operators receive timely payments for USSD services, thereby reducing the risk of future disputes.

United Bank for Africa (UBA) had previously implemented this arrangement, following the directives by the NCC. UBA notified its customers that USSD charges would no longer be deducted from their bank accounts but directly from their mobile airtime balance. The USSD session will attract a charge of N6.98 per 120 seconds and be billed by customers’ mobile network operators. Customers will receive a consent prompt at the start of each session, and the airtime will be deducted subject to confirmation and availability of the bank’s services. Customers also have the option to discontinue the USSD service if they wish to opt out.

The USSD service has been a crucial banking alternative for users, especially those without internet access. It enables customers to conduct banking transactions without the need for an internet connection, making it a vital service for many.