Failed transactions: NCC, CBN unveil refund framework 

In a major policy shift validating persistent advocacy for consumer protection, the Nigerian Communications Commission (NCC) and the Central Bank of Nigeria (CBN) have released a comprehensive framework to address consumer complaints arising from unsuccessful airtime and data transactions.

The development comes on the heels of a series of investigative reports and escalations by NewsDirect, which had spotlighted the plight of subscribers losing billions of Naira to failed transactions during network downtimes and system glitches without timely redress.

The new regulatory framework, which is the outcome of months of high-level engagements involving the NCC, CBN, Mobile Network Operators (MNOs), Value Added Service (VAS) providers, and Deposit Money Banks (DMBs), establishes a unified front to tackle the rising incidence of debit without value.

Under the new regime, which is set for full implementation on March 1, 2026, subscribers are entitled to an almost instant refund. The framework mandates that where a purchaser is debited but fails to receive value for airtime or data whether the fault lies with the bank or the telecom operator, the purchaser must be refunded within 30 seconds.

In complex circumstances where the transaction remains pending, the refund timeline is capped at 24 hours.

This enforceable Service Level Agreement (SLA) addresses the root causes of friction between the telecommunications and financial sectors, clearly outlining the roles and responsibilities of each stakeholder to prevent the blame game that often leaves consumers stranded.

The framework also mandates operators to notify consumers via SMS regarding the success or failure of every transaction. 

It covers erroneous recharges to ported lines, incorrect airtime or data purchases, and instances of transfers to wrong phone numbers.

Speaking on the development, the Director of Consumer Affairs at the NCC, Mrs. Freda Bruce-Bennett, disclosed that a Central Monitoring Dashboard will be established and jointly hosted by the NCC and the CBN. This digital tool will allow regulators to track transaction failures, identify the responsible party, monitor refunds, and flag SLA breaches in real-time.

“Failed top-ups rank among the top three consumer complaints, and in line with our commitment to addressing these priority issues, we were determined to resolve it within the shortest possible time,” Bruce-Bennett stated.

She acknowledged the collaborative effort required to reach this milestone, noting that even before the official commencement date, the intervention has yielded results.

“So far, pending the approval of management of both regulators on the framework, MNOs and banks have collectively made refunds of over N10 billion to customers for failed transactions,” she revealed.

“We are grateful to all stakeholders particularly the Central Bank of Nigeria and its leadership for their tireless commitment to resolving this issue and arriving at this framework, and for ensuring that consumers of telecommunications services receive full value for their purchases.”

The implementation of the framework is scheduled to commence on March 1, 2026, following final approvals and the conclusion of technical integration by all MNOs, VAS providers, and DMBs.