Bank charges

[Baboonboy]

I was recently charged �90 fo rexceeding my overdraft limit by �50. The charges came out of my account causing me to exceed my limit once more and I have been charged again. Is this legitimate practice? I have telephoned my bank to explain my situation but in so many words was told "Tough"

[rja211077]

the key is that penalty charges must be at a level that reflects the cost of administering them. to me �90 seems too much and is way above the average according to this article
http://news.bbc.co.uk/1/hi/business/6169539.st m
which explains it fully and, via the artlicle found via the link under the first picture 'how to claim back your penalty charges' gives advice on how to go about getting some back.

who do you bank with?
can i have a cut of your refund if this info helps you get one?

[WendyS]

I suggest you go to the excellent money website:

http://www.moneysavingexpert.com/

On the Home page there is a very informative article on the illegality of bank charges which you may find helpful.

[johnny37]

This type of penalty is illegal. The bank can only legally charge you the cost of the overdraft, not an arbitrary penalty. Many people are successfully reclaiming these charges. You can reclaim all of your illegal charges going back six years. Start by writing to your bank requesting a list of all your charges for the last six years. There are many websites that will talk you through how to do it and give you examples of letters to send to your bank. Just type in Bank Charges in your search line. www.thisismoney.co.uk is one

[Baboonboy]

Many thanks for all your help. I've just read an article in the Telegraph which also provides some info. Thanks again. BB