Fidelity Bank and Union Bank have announced an increase in the fee charged for SMS transaction alerts, citing an industry-wide rise in SMS...
Fidelity Bank and Union Bank have announced an increase in the fee charged for SMS transaction alerts, citing an industry-wide rise in SMS costs by telecommunications providers.
Fidelity Bank disclosed that, effective Thursday, May 1, 2025, SMS alert charges would increase from N4 to N6 per message.
In an official statement shared on its X, formerly Twitter handle, Fidelity Bank justified the adjustment as necessary to continue delivering secure, timely, and reliable transaction notifications to customers.
“Please be informed that due to an industry-wide increase in SMS costs by telecommunications providers, the charges for SMS transaction alerts will be revised from N4 to N6 per SMS effective May 1, 2025. This adjustment is necessary to ensure we continue delivering secure, timely, and reliable transaction notifications to you,” Fidelity Bank stated.
The bank cautioned that SMS alerts sent to international phone numbers may attract higher charges, reflecting the broader impact of rising telecom costs on financial services.
Union Bank has also notified its customers of the upward review of SMS charges.
“Our Telecommunication Service Providers have recently reviewed their service rates applicable to SMS notifications upwards. Consequently, effective Thursday, 1 May 2025, your SMS Transaction Alert Fee will increase from Four Naira (N4.00) to Six Naira (N6.00) per message. Please note that alerts to international phone numbers are subject to higher charges.”
The bank encouraged its customers to retain their SMS subscription despite the increase.
“Transaction Alerts are essential as they help you monitor and control your account activities in real time. We encourage you to retain your subscription to this service.”
However, for customers willing to opt out of the service, the bank asked that they fill a form on the website.
“If you would like to opt out of receiving Transaction Alerts via SMS, please update your preferences by completing the Transaction Alert form available on our website. You may submit the completed form to customerservice@unionbankng.com or visit any of our branches nationwide for assistance.”
Fidelity Bank’s announcement follows a similar move by Guaranty Trust Bank (GTB), which also raised its SMS transaction alert fee from N4 to N6, citing changes in telecom service pricing.
This adjustment, like Fidelity Bank’s, took effect on May 1, 2025.
The telecommunications sector in Nigeria has been grappling with financial pressures, including:
Rising energy costs impacting operational expenses.
Depreciation of the naira, making infrastructure imports more expensive.
Frequent disruptions to fibre-optic cables, causing significant financial losses.
Despite these challenges, telecom tariffs in Nigeria remained unchanged for over a decade.
However, in response to escalating costs, telecom operators petitioned the Nigerian Communications Commission (NCC) for a 100% increase in tariffs.
The NCC ultimately approved a 50% hike, striking a balance between financial sustainability for operators and consumer affordability.
The impact of this increase is evident across various services, including SMS and data pricing.
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