Morning Neil,

Again that Money web site by Martin Lewis has the latest update (just google it) basically the banks are still appealing it, be the end of the year before any further development. Credit card charges are different as you most likely know. As the bank charges are legally progressing the banks can state refunds can be put on hold till then.

There is a proviso that if you are in severe and serious financial need that the bank can waiver the charges and pay out. But this is a rare thing, don't know if anyone has suceeded with this way.. Whilst it's up to you to weigh out the 'pro's and con's' of going to the small claims court I doubt that this will be a opportunity till the present situation is resolved. Like everyone else we wait and wait and wait again in hope!

Regards, Paul

Hi,

Any updates on the bank charges case?

Also i have submitted my claim to the halifax, i recieved an email from them to call them to find out if they will be refunding the charges or not. If they state they will not be refunding them, do i let them know that I will be taking this further and take the matter further through a court?

Hi neil - another good question!

If you can, work out the interest you've been charged and include that in the total. It may also be worth sending them photocopies of your statements, highlighting the charges you are disputing.

Again, it's difficult to say with timescales - you should get some sort of initial response within a couple of weeks, depending on their policy. It might be worth asking for a response by a particular date - though you do need to be reasonable! They may claim that they have an FSA waiver due to the test case - but this only applies to the bank charges test case, not the OFT guidance.

Also, be aware that if you do have to take them to the Small Claims court, you bear the cost of starting that claim. I imagine that it's unlikely that it would get that far, but make absolutely sure this is something you are prepared to do. Seek independent legal advice if you are in any way uncertain or unsure - the claim against unfair credit card charges relates specifically to the contract you entered into with them for the provision of this service, so you need to check those terms and conditions carefully.

Have any of the forum members gone through this process and succeeded in getting their money back?

You can download the OFT statement on 'Calculating fair default charges in credit card contracts' and its advice to consumers by clicking here.

You can also find out more infomation on the bank charges test case at the FSA's consumer website by clicking here.

Thank you thats fantastic!

I will be doing that...when i put in my claim for the charges, do i put the total charges and calculate how much interest I would have paid? Or do i state this is the total of charges you have charged me in the last 6 years and I am claiming that amount + interest...and get them to calculate the interest?

What timescales should I allow for recieving the refund?

Hi neil,

It's a very separate issue - and the current, ongoing court case specifically relates to bank charges and has no impact on credit card charges.

The OFT produced a report in April 2006 which stated that the standard penalty charges issued by credit card providers were unfair and excessive. These 'standard' charges include things like going over your credit limit and late monthly repayments - some were charging as much as £35. Since the OFT report, most providers have reduced their standard charge to £12 - still regarded as excessive by some. Of course, to make sure they aren't losing out, the credit card companies have simply increased the interest rates...

It has been said that some providers are using the confusion over the bank charges test case to stall and delay paying out over credit card charges - but you can still claim. You need to get together all your statements going back 6 years [5 if you're in Scotland], identify the charges and write a letter to their Customer Services department stating that you're claiming the total amount in charges under the Unfair Terms in Consumer Contract Regulations. Also mention that you will pursue the amount [plus interest and costs] through the Small Claims court, if necessary. If you don't have all your statements, ask them to send you copies - this will cost you about £10.

Of course, the best way is to avoid paying any interest or charges in the first place: don't go over your credit limit; make sure you pay off the full balance each month or set up a direct debit to pay off the minimum amount; get into the habit of shopping around and regularly changing to the best balance transfer card on the market. Bear in mind, though that there can be a catch with 'interest-free' credit cards as Steve Willey, our head of credit cards and prepaid cards recently reported: 'The 'interest-free' credit cards that may charge you interest'.

For more information on the bank charges court case, read the article by our site editor, Clare Francis, by clicking here: 'Banks lose first round of overdraft charges court case'.

I hope that helps. Let us know how you get on...

Today was the end of a three-day hearing in the High Court. Basically, they are going through the appeals process over the Judge's initial decision that the OFT has jurisidction over unfair bank charges.

The judge decided today not to make an immediate ruling - so the process will drag on for a few more months yet.

I think you can still submit your claim to your bank - though I wouldn't hold out any hope of seeing any money in the very near future.

http://news.bbc.co.uk/1/hi/business/7498178.stm

Hi --- To be honest it's dragged on now and I have lost track of where it's all going, for a more thorough detail of events copy & paste the address below into your browser.

http://www.moneysavingexpert.com/reclaim/oft-bank-charges

Thanks for the reply. When will the final details be available? Is this the same for credit cards etc too?

Hi -- Although on hold awaiting final details, you can still register your claim in the normal way as before.

To point you in the right direction, put the words, "reclaim bank charges" into Google, it will give you the moneysaving expert site that provides the details and template letters necessary.

Hi,

I just wanted to know what the situation with claiming back bank charges were, if this was still possible? and what the qucikest and easiest way to do this was?

Thanks