Anyone with a
bank account may want to keep an eye on the
news as the Office of Fair Trading (OFT) seeks to find out if
overdraft charges applied by the
banking industry are unlawful.
The OFT has launched a test case in the high court aimed at
obtaining a ruling as to whether or not the unfair terms in
consumer contracts regulations apply to unauthorised overdraft
charges.
The case does not address terms and conditions of individual
banks, though the OFT says it is monitoring information
provided by the bank industry and would publish further information
in future.
In the case the banking industry will be represented by
Abbey,
Barclays,
Clydesdale,
HBOS,
HSBC,
Lloyds TSB,
Nationwide and
Royal Bank of Scotland .
However, the banking industry has warned that they may have to
start charging for
current accounts if the OFT action is successful.
And millions of individuals have already gone to court in an
attempt to reclaim their own charges, the Guardian reported.
