Bank Charges case upheld

addart

rdavenport wrote: »

http://news.bbc.co.uk/1/hi/business/6657025.stm

Just in case you hadn't heard...

This case has come at the wrong time for me as i'm claiming my charges back:(

The judge has ruled that :
"Having held that the charges complained of are not charges for breach of contract but part of the price of the services provided by the bank....he has not satisfied me that he has any ground in law for recovering from the bank the amount of any charges which he has paid to it,"

What does this mean? - basically bank charges are legal, banks will not pay out before going to court because a ruling has been passed in their favour.

On the brighter side there should be an appeal, the appeal judge may over turn the descsion, and we can claim out money back; or which I think is more likely, the appeal judge will rule that the charges are not illegal but they should only cover costs to the bank, and we will get some of our money back.


Going to be an interesting time until the apeal is heard

Time2Go_25

chipbeck wrote: »

Only other post by this plonker....

My £1 bond purchased for me in 1961 still hasn't won :rotfl: :rotfl: :rotfl:


Probably because your a miserable !!!!!! mate!:rotfl: :rotfl: :rotfl:

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Not sure what my other post has to do with this, nor do I see the fact that I may have a different opinion on the subject warrants abuse.

chipbeck

pdel61 wrote: »

Not sure what my other post has to do with this, nor do I see the fact that I may have a different opinion on the subject warrants abuse.

We'll have to agree to differ then mate. I think abuse is warranted.

Edinburghlass_2

Abuse isn't warranted anywhere on MSE so please lets leave it there.

funkylala

Where does ths leave us??
http://news.bbc.co.uk/1/hi/business/6657025.stm

Lloyds TSB has become the first bank to win a court case after being sued by a customer for imposing supposedly unfair overdraft penalty charges.
District Judge Cook, at Birmingham County Court, dismissed a claim for £2,545 from Kevin Berwick.

Mr Berwick argued Lloyds TSB's charges for having an unauthorised overdraft were illegal contractual penalties.

But Judge Cook decided the bank's charges were in fact legitimate fees for servicing an overdrawn account.

As such, the judge said they were legal.

"Having held that the charges complained of are not charges for breach of contract but part of the price of the services provided by the bank....he has not satisfied me that he has any ground in law for recovering from the bank the amount of any charges which he has paid to it," he said.

Mr Berwick said he was annoyed by the outcome. "I was expecting to win as I made a good job of arguing my case," he said.

He is now considering an appeal after the judge gave him leave to do so.

Blow to claimants?

As this judgement has come from a district judge, it is not binding on any other court, in the way that a High Court judgement might be.

However, as the first judgement of any kind in this sort of case, it could be a blow to the hundreds of thousands of people who are still trying to claim that they have been overcharged by their banks for running unauthorised overdrafts.

So far, many claimants have been successful because their banks have settled their cases before the issue came before a judge, precisely in order to avoid an adverse legal decision.

Now, the first decision in which a judge has given an opinion on the law has gone in a bank's favour.

Marc Gander, of the Consumer Action Group, a leading bank charges campaign, said he was very disappointed.

"We feel the judge has not considered the fact that disguising penalties as a fee for a service is a very common device for circumventing established law.

"The judge appears not to have looked behind the words on the contractual document," he said.

Although Mr Berwick turned up at the original hearing in Birmingham to argue his case and was questioned by the judge, Lloyds TSB chose not to attend and relied simply on a written defence which it had submitted in advance.

Neither did the bank have any lawyers present in court when the judgement was handed down.

villeroy1502

Oh Dear,

This has just been posted on the BBC News website:
http://news.bbc.co.uk/1/hi/business/6657025.stm

Lloyds TSB has become the first bank to win a court case after being sued by a customer for imposing supposedly unfair overdraft penalty charges.

District Judge Cook, at Birmingham County Court, dismissed a claim for £2,545 from Kevin Berwick.

It's not good news for the rest of us.:eek:

Time2Go_25

wok_boy wrote: »

Congratulations on your successful attempt at raising your profile on the forums for all the wrong reasons. Care to back up the reason for posting that?

BTMan, thanking him for his post, was that a stab at sarcasm or you are really backing him up in what he is saying?

Indeed, I think it is about time that some sort of decission is made about the lawfulness or otherwise of the charges that banks/credit card companies etc. make. Then we might be able to get into a position where all parties know where they stand.

kazza_2

Important article from BBC news site:
Lloyds TSB has become the first bank to win a court case after being sued by a customer for imposing supposedly unfair overdraft penalty charges.

peteskies

Lloyds TSB has become the first bank to win a court case after being sued by a customer for imposing supposedly unfair overdraft penalty charges...

http://news.bbc.co.uk/1/hi/business/6657025.stm

I'm due in court in 3 weeks to claim against Lloyds TSB, should I be worried?

Revels_2

Why are people posting the same BBC article again and again? Do they not read the thread first?