You are here: Home - Uncategorized -

Judge issues warning for banks

Written by:

A High Court judge has issued a stark warning to high street banks to stop behaving unreasonably in their dealings with unsatisfied customers.  The reprimand from Judge David Mackie refers specifically to banks’ treatment of those customers attempting to reclaim ‘unfair’ overdraft charges.  He accused some of the banks as wasting both customers’ and the court’s time, by making out they would legally defend themselves against such complaints, when in reality they have no plans to follow through. 

Mackie said that he would consider awarding damages against banks that continue to act in this way. Thousands of people have attempted to reclaim some or all of the overdraft fees levied on their accounts, since the Office of Fair Trading ruled that banks had been grossly overcharging customers for many years. 

Many banks have refunded fees, but all have resisted a test case in the High Court, which could cost them many millions of pounds if it found against the banks. Hundreds of cases have been settled out of court at the last minute. Brian Capon, of the British Bankers Association, defended the banks approach: 

“They take the court process very seriously, but ultimately they would prefer to settle disputes with their customers outside the court process,” he said.  “Where a customer’s complaint dates back over a long period or is complex the bank will need longer to investigate the complaint properly.” 


Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
Travel insurance ‘too cheap’ to be any good in case of trouble

Travellers who compare travel insurance have been warned not to base their decision to purchase on the cost of the...