News In Focus
2 April 2009
Bank charges case to go to the Lords
Bank customers seeking repayment of charges they allege were excessive still face a long wait for resolution of their claims.
The House of Lords yesterday granted leave to appeal to the eight banks defending the test case brought by the Office of Fair Trading on the fairness of the charges.
Last year the High Court in London upheld the right of the OFT to make a ruling under the Unfair Terms in Consumer Contracts Regulations. In February the Court of Appeal upheld this decision, refusing the banks permission to take a further appeal. However on a petition to the House of Lords the banks have now won this right.
It could take between one and two years for the further appeal to be decided, and if it is refused, the further decision on fairness has still to follow.
Consumer groups accused the banks of dragging out the issue. Some of the claims involved date back to 2001. Which? said people should not be deterred from putting in their claims and taking their place in the queue.