Fees still being charged by bank charge reclaim firms

According to a recent report a number of bank charge reclaim firms are charging customer’s cancellation fees in order to put an end to their claims, even though they are supposed to operate as no win no fee companies. Many consumers have decided to cancel their claims since the High Court test case failed to reach a solid conclusion, leaving pending claims on hold in the courts.

A number of consumers have been asked for cancellation fees of around £30 or thereabouts for the return of their paperwork and documentation, even though the company has not claimed any money back for them on account of the cases having been put on hold because of the High Court test case.

One customer that went with a claim company and then decided she wanted to cancel tried to get back a deposit that she had paid of £30, but said she had not been able to get the money back as yet. She said: ‘I have rung them five times and sent three e-mails and left messages, but to no avail. They have not responded.’

A consumer group official stated: ‘There has been absolutely no need to use one of these claims handlers and especially now there is a court case. If you think you are owed overdraft charges, complain now - the bank is under no obligation to resolve your case until the court case is over.’