Did you know that bank charges of more than £12.00 have been ruled as unfair by the OFT and you can claim your money back? And your claim can cover the last 6 years?

[tigermoth]

I've cut and pasted the article that appeared in Telegraph money section:

Get your money back from the bank

The Office of Fair Trading's ruling that bank penalty charges of more than £12 are unfair could spark a flood of complaints from customers seeking compensation for unjustified charges over several years.

Earlier this month the OFT ruled that penalty charges for late payments on credit cards, unauthorised overdrafts, unpaid direct debits and standing orders and missed payment fees on store cards and mortgages were deemed unfair if they exceeded £12.

Last weekend, this paper revealed that this could lead to redress for bank customers who have been erroneously charged for the past six years.

The OFT's initiative strengthens the case of anyone who has seen penalty charges automatically deducted from their accounts after falling foul of bank and building society small print. As with any legal proceedings, there is not a 100 per cent guarantee that you will win, but lawyers and consumer groups reckon the OFT's position means judges will be far more likely to accept arguments that penalties of more than £12 amount to unfair contract terms that cannot be enforced.

The process for reclaiming the unfair charges from your bank is straightforward.

First your bank is obliged to supply you on demand with a list of all charges you have paid in the past six years under the Data Protection Act. You then need to write demanding the bank repays the unfair charges. If that is not successful, you can take the matter further by either going to the small claims court of the Financial Ombudsman Service (FOS).

More details on how to claim and pro forma letters are available on the website of Which?, the consumer group.

"Claiming back these unfair charges from the banks is a relatively straightforward process," says Emma Bandey, a personal finance campaigner at Which? "These charges are nothing but an easy money-spinner for the banks."

I am thinking of doing this. What a windfall if I am successful!

But I am worried about something. If I push for this, and my bank give me my money back, is there a risk that the bank might start to get difficult with me? I don't want them to mysteriously refuse to send me a new cheque book, refuse to extend my overdraft limit or refuse a loan. Do you think there is a risk that banks might start doing this to customers who claim their charges back?

yes they will - they have to give you this information under the Data Protection Act. You have to write in requesting this info.

If you look on the Which website you can get lots of information and sample letters to send to your bank. Antyquated also copied the sample letters onto this thread.

Thanks tigermoth, I missed that one!

This thread is fab - what a superb piece of info. to stumble accross! Just wondering though, since my bank massively overcharges me (£75 a month for going overdrwn by a £1!!) whether it would affect your relationship with the bank if your pursue this? As a couple we are in v.good financial shape as dh is very careful with money and we have all our accounts (incl. mortgage) at one bank. As an individual though I am crap with money so regularly go over my limit on my account hence the charges! I wouldn't want my bad record to affect our rating as a couple with the bank if I write to them to demand charges back! Has anyone else tried this in a similar situation?

Tigermoth, thanks very much, will be off to the bank on Tuesday.They wont owe me much, but dont like them lining their pockets out of mine. Have no worries about them spitting their dummies out either, have a few accounts with them and there are more banks than there are of me. Thanks again :o :o

OMG, just seen this thread, we've got three barclay accounts, and also a barclaycard, so we're deffo going to be writting to them.

Thanks all

And does anyone know if it also includes the £30.00 they charge for not allowing a direct debit to go out??
Thanks in advance!

thirtysomething, I too am worried about whether my bank will cool their relationship with me if I demand a refund on my charges. I am pressing ahead regardless as, like singledad says, there are plenty of other banks out there. I may also open another account at a second bank (hopefully complete with overdraft and cheque book facilities) as a back up.

jofeb04, as I understand it from reading the telegraph online and Which websites, you can claim money back on a £30.00 charge for a failed direct debit.

I have always queried bank charges (when Ive had the energy to do so) and Ive had them reduced several times.

this ruling is about 20 years too late, but better late than never I suppose!

nightynight, when I think of the bank charges I got as a twentysomething, I certainly do wish this ruling had been applied earlier! I too have queried individual bank charges in thepast and got the odd one refunded, but it can take a time and mental energy to do this, so I have definitely let quite a lot slip through.

yes, me too
and now my bank balance is huge, but it is all unpaid tax, and will disappear like fairy gold when the Finanzamt catches up with me.

Just had a look at one of the forums, the Halifax charge £5 for details of past 6yrs records. Last month I was charge £120. Often I have been charged because previous moths charges come off and the put me overdrawn again.

I would be seriously rich if I got it all back.

I wonder why they do pay it back as they have it all in the tiny T&C and always send a letter to say they are charging. Is it because the OFT are saying it is ufair to charge this amount anyway. I get charge £20 ago but I am sure it was £30. Is it worth the £5 to get the info???????

thanks tigermoth

Ok, im deffinately (sp!) going to give it a go. Im going to send in tomorrow to the barclays, and see what they say.
I'll keep you all updated on what they say. We must pay loads on these fines, at least £50 a month, which then causes us to pay again the following month!!
Thanks

i'd love to give it a go, but not sure if it's worth it/we'd get any where, with the halifax we were fine for the first year we have an unatherised o/d due to rediculas charges being taken out 7 dasy after thew letter, then us being charged for tyhe charges again cos we were O/d even thou we get paid monthly! anyhow that probably amounts to a good few hundred, and with the lloyds in one month alone I think we had £200 in charges, the thing is thou we have an IVA and our halifax a/c is one of the ones on there - i'm not bothered tbh if they decided to pay off the o/d with the refund - tbh it would be good for us, but not sure it's worht iot as our credit histroy's not been so good.

anyone know if i'd still be able to put forward a claim? (it's not always been really o/d either)

Munz, why not at least give it a go.
The fees they charge is one of the main reasons we struggle every month.
Barclays charge us the money for going over allowing the direct debit to go out, then as soon as we have reached the maximum (3times in a month), they then charge us £30 for stopping a direct debit to go out!!

am very heartened to read this thread and beg you all to keep me up to date with your progress or otherwise in getting some £££ back from the banks etc!!!. I often query stupid charges when I notice them and/or have the energy to do so, and they so often back down or offer a "good will gesture". Am now going to trawl through my statements and compose a few sternly worded letters.... thank you everybody for all relevant links etc....

I have not sent the 2nd letter yet but it will be in the post box tomorrow, i wrote it about 1 week ago for my brother. (hes a nieve 21 yr old)

This will also open a few eyes, there was a bank charge on dp's bank this week for £39.00 so i said to dp to phone them staright away as i know every penny that goes in & out of mine & dp's account & i know there is always money in each so i could not understand why he would have a bank charge, so he phoned & they said "it was a mistake" they would put it straight back in"
But i then thought for people who do not check there banks & know what goes in & out all the time they probably would not have picked up on "that" mistake, so beware always check your money.

We're doing this too: they skanked me £500 last summer when I was switching to a sudent account- nice to see some back for the summer holidays.

joef I think I will, that's how we got into so much trouble with the halifax thru charges alone they/we racked up from being £120 o/d to £500 o/d cos we were charged every week until our wages went in, but then the first of the month would come and we'd be back to square one again with the weekly charges as there just wasn't enough.

i'll get a letter off in the post tues I think - worst they can say is no I guess!

I've never paid out anything in bank charges other than the very odd occasion when I was late paying my credit card. I am truely shocked at some of the sums many of you are talking about on this thread though!

I find it appalling that the least well off are the most fleeced by the banks and hope all of you are successful in seeing some of your dosh back:)

The thing is, if you are down to £5 but went overdrawn the month before, they take say £30, which menas the same happens next month, and.... plus as wella san overdrawn thing you get a per item fee (£15), so they add up and then your budget collapses and....

or in our case with DH, your boss underpays you by mistake, the rent goes out, you are billed £30 bounced item fee, plus £30 overdrawn, plus £15 item fee.....but it takes them two weeks to notify you, you don't know you were underpaisd coz Dh is off work on holiday... you write more cheques / pay mroe DD's, each is bounced with a fee.... by the time error is spotted and boss patys you've doubled shortage in fees so you still can't pay the bills

bloody banks

Do you send the letter to your local branch or do you send it to the head office?

does anyone work in a bank to get an insider view? i do but have been on the club for as long as i can remember so dont know anything about this!
i know i get charged just like everyone else though!

Well 2nd letter sent today i will await my reply & let you all know

Can somebody tell me where i address the letter to?Do i send it to my local branch or do i send it to my banks head office?thank you