FCCPC Clarifies Position on Airtime, Data Advances, Denies Service Ban

Olufemi Adeyemi Amid growing public confusion and mixed reports across traditional and social media platforms, the Federal Competition and Consumer Protection Commission (FCCPC) has moved to clarify that it has not placed any ban on airtime borrowing or data advance services in Nigeria. The clarification follows recent developments involving MTN Nigeria, which announced the suspension of its popular airtime and data credit service, “Xtratime,” citing compliance requirements under the newly introduced Digital, Electronic, Online or Non-Traditional (DEON) consumer lending regulations, 2025. The regulations, officially gazetted and effective from July 21, 2025, represent a significant shift in how digital lending and related value-added financial services are governed in the country. According to the FCCPC, they were introduced under the framework of the Federal Competition and Consumer Protection Act (2018) to address longstanding concerns around consumer protection in the rapidly expanding digital credit ecosystem. Regulatory framework born out of consumer complaints The commission explained that the regulatory intervention was necessitated by widespread consumer complaints involving opaque deductions, unclear service charges, aggressive debt recovery tactics, and inadequate disclosure practices by some service providers operating in the telecom-linked lending space. In response, the FCCPC said it rolled out the DEON regulations in July 2025 to establish a structured and transparent system for digital lending operations. Key provisions include mandatory registration of operators, clearer disclosure of fees and terms, responsible lending practices, improved consumer complaint mechanisms, strengthened data protection safeguards, and enhanced oversight of third-party service partners. By September 2025, the commission had already indicated that the regulations would serve as a comprehensive framework aimed at restoring consumer confidence and ensuring ethical conduct within the sector. Compliance timeline and enforcement expectations To facilitate compliance, operators were initially given a 90-day window beginning in July 2025. This deadline was later extended to January 5, 2026, to...