Starting today, May 1st, Nigerian bank customers will begin paying N6 per SMS transaction alert, a move that has sparked mixed reactions across the financial ecosystem. The charge, which will apply to debit and credit transaction alerts sent via text message, was confirmed by multiple banks in recent notices to their customers—signaling a uniform rollout in compliance with regulatory guidance.
While banks describe it as a necessary adjustment to reflect the actual cost of service, many customers see it as another financial burden in a season of rising living costs.
The new SMS alert fee is not entirely new, but enforcement has become more standardized. In previous years, some banks absorbed the costs or implemented partial charges. Now, under new banking cost recovery policies, all banks are expected to deduct N6 (excluding VAT) for each SMS sent to notify customers of transactions.
Many customers received alerts over the weekend and early today, notifying them of the new deduction structure.
“This is not the kind of May Day gift we were expecting,” quipped a Lagos-based entrepreneur. “Even the smallest transactions now come at a price.”
According to financial analysts, the fee reflects a broader shift by banks to optimize revenue from ancillary services amid tightening margins and the push for cashless banking.
SMS alerts are often powered through third-party telecom services, which charge banks for every text sent. With the surge in transaction volumes driven by digital banking and mobile apps, the costs have risen significantly.
“In reality, banks have been subsidizing this service for years,” said a banking sector consultant. “The N6 fee is meant to align with operational costs and encourage users to migrate to less expensive notification channels, such as email or push notifications via mobile apps.”
For those who wish to avoid or reduce the new charge, banks are offering alternatives:
Email Alerts: Most banks offer email notifications free of charge. Customers can ensure their email address is updated and verified to receive real-time alerts.
Mobile App Notifications: Push notifications via official banking apps are instant and cost-free, provided users have internet access.
USSD/Balance Checks: Customers may opt to check balances via USSD codes or app logins instead of relying on SMS notifications for every minor transaction.
However, critics argue that not all Nigerians have reliable internet access, especially in rural areas, making SMS alerts the only viable option for some.
The move has drawn attention from consumer rights organizations, who are calling for greater transparency and consideration for low-income earners.
“This is not about N6 alone,” said a spokesperson for the National Association of Bank Customers. “It’s about the cumulative cost of banking in Nigeria—from ATM withdrawal fees to maintenance charges, and now this. It adds up.”
They also call for banks to offer customers the option to opt-in or customize the type of transactions that trigger SMS alerts.
As inflation climbs and the cost of living continues to bite, Nigerians are increasingly sensitive to any new charges—no matter how small. For many, the N6 SMS charge is more than just a fee; it's a symbol of how everyday banking is becoming more expensive.
Still, some see it as a nudge toward a more digital, cost-efficient banking system.
