Credit Card Charges

notsa

Ive written to Goldfish and Mint and after threatening with court proceedings they have offered me a partial refund based on the oft stating a charge should be no more than £12. Can i claim the whole amount back ??

Rex_Mundi

I would continue with the claim for the whole amount. The OFT have been very clear that they would not accept charges to be fair just because they are set at the £12 limit or less..........(quote)

The OFT is not proposing that default fees should be equivalent to the threshold, and a court will certainly not consider that a default fee is fair just because it is below the threshold

The same principles apply to this £12 charge as to the rest of bank charges and should only reflect the true cost to the CC issuer, They are not exempt because of the OFT decision regarding a £12 limit........(quote)

A fair default charge should not exceed a reasonable estimate of certain limited administrative costs which the credit card issuer reasonably expects to incur as a result of default.

The OFT also say that only a court can decide whther these charges are unfair or not...............(quote)

Only a court can finally decide whether a charge is unfair or not. The OFT has today set out a statement of its view of the law. This has not generally been accepted by most of the eight credit card issuers.

I would carry on with this claim, and when you get to the Allocation Questionnaire stage of the court process. Ask the judge to order 'Standard Disclosure' regarding these charges. The judge has the power to order the CC companies to reveal their true costs regarding these charges. My guess is that the company will settle for the full amount out of court rather than reveal their true costs.

All quotes above taken from THIS SITE