UK Banks In Crucial High Court Battle Over Charges To Customers

[Legal Beagles]

High street banks have argued in court that consumer contract "fairness" rules do not apply to the charges they impose for unauthorised overdrafts.

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[Amethyst]

Re: UK Banks In Crucial High Court Battle Over Charges To Customers

High street banks have argued in court that consumer contract "fairness" rules do not apply to the charges they impose for unauthorised overdrafts.

Banks have forked out £1bn so far

They made the claim at the start of a test case which could have a major impact on the future of high street banking in the UK.
The case, at the High Court in London, could pave the way for a ruling on the amount banks can charge customers for unauthorised overdrafts.
Lawyers for one of the banks said "ill-judged comments" by the Office of Fair Trading were partly to blame for the "torrent" of court claims made by dissatisfied customers.
Laurence Rabinowitz QC, for Royal Bank of Scotland Group (RBSG), told the court the OFT had stated the same principles applied to current accounts as credit cards.
It made the "unfortunate" declaration following its report on credit card charges but before it had begun its investigation into current account overdraft charges.