OFT and Bank Charges

SparciaM

So what do people think when the OFT make banks reduce the OD charges to £5 or £10 a go?!?

When that happens, no more reclaiming bank charges, but what will the banks do? People think that they'll introduce a monthly charge, like other places in the world. Or will they just charge people £10 for every time a payment goes unpaid, say you have 10 upaid dd's thats £100.

Barclays have a rule of only charge 3 times in a month.

OR, maybe the banks will say that with a £10 charge it will encourage people to get more into debt and maybe that could change how our banking works.

If you look to Europe, when you hit 0 your account is frozen and you can't do anything, but you do have to pay for transfers, taking cash out etc. Maybe that is an option, to stop and help people who live in their OD every month.

How many people say, "I can't survive without my OD" - they need to remember that it aint their money, it's borrowed from the bank.

Paul_Herring

but what will the banks do?

How about reducing interest rates on current/savings accounts? In addition to the things you mention.