FSA reveals bank charges figures

09/04/2009

The financial regulator has released new figures, laying bare the extent to which Britons have taken action in reclaiming bank charges they see as unfair.

According to the Financial Services Authority (FSA), a total of 972,565 claims from customers have been frozen until after the resolution of an Office for Fair Trading investigation and a High Court test case on the issue.

The £30 fees, levied by banks for offences such as exceeding overdraft limits, became the focus of a consumer revolt prior to the cases being called in 2007.

Recently, the OFT has said that it hopes to conclude its investigation before the end of the year.

The High Court test case, which was called in order to clear up legal issues surrounding the OFT's probe, has no set end date.

Commenting on the FSA's revelation, Chris Warner, lawyer at consumer group Which?, said: "You could fill Wembley stadium ten times over with the people waiting on bank charges claims. It's a huge issue and has to be settled as quickly as possible."

He added: "The important question is how many of these people are in financial difficulty?"

Banks paid out around £560 million in charge refunds prior to the claims being frozen in 2007.

Tags; Debt Management and Banking, Recent Graduate Debt, Credit Card Lifestyle,

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