Wait goes on for bank charges ruling

If the banks lose, it could reopen the reclaiming bandwagon (see the Bank Charges reclaiming guide for template letters).

The Supreme Court, which is considering an appeal by current account providers against earlier rulings that charges can be assessed for fairness, says it has no idea when the result will be announced.

The Court of Appeal and High Court have already ruled that charges can be assessed for fairness.

If the Supreme Court upholds that view, the Office of Fair Trading will determine whether charges of £39 a time for exceeding your overdraft limit are fair. It has hinted it thinks they are unjust.

The appeal itself was heard in June with a judgment initially expected in September or October. However, now well into November, we are still waiting, with no due date in place (see the Bank charges delay MSE News story).

A Supreme Court spokesman says: "We don't know when the judgment is going to be handed down."

There have been rumours it could be made public on 19 November but the court says it has no date in its diary (the result will be revealed in our Free Weekly Email).

Over £1 billion was returned to consumers before claiming was suspended for most in July 2007, at the same time as the announcement a test case would take place. Over one million claims are currently on hold.

Martin Lewis, MoneySavingExpert.com founder, says: "Delay, delay, delay.  The entire history of this case has been blighted by delay – something which must make banks jump for joy."While they're still levying charges, even though two courts have ruled fairness rules apply, most consumers have been prevented from reclaiming them.

"It's time this was sorted. Millions are waiting and we've been given deadline-after-deadline and no one's delivered."

While reclaiming is on hold for most, you can still submit a claim if you're in financial hardship.

It doesn't mean you'll get your money back but banks must at least listen to your concerns (see the Bank Charges Hardship guide).

Further reading/Key links

Full reclaiming guide inc. free template letters: Bank Charges Hardship reclaiming guide inc. free templates: Bank Charges Hardship