Public failing to claim back unlawful charges

This claim was made by the Motley Fool which says that only 11 per cent of people have reclaimed the charges, while only 39 per cent know anything about the issue.

“So far, most claimants have been successful, but banks and card companies could come up with an ultimate solution at any time. I suggest that everyone moves to recover their charges as soon as possible,” said the website’s personal finance expert Neil Faulkner.

The Office of Fair Trading ruled in May that bad debt charges, such as fees for late payment, were unfair and should be reduced from £20 to £12.

While some banks have agreed to reduce this, Mr Faulkner claims that this action now allows customers to reclaim previous charges, with interest.

With Britons’ average debt as high as £4,000, every step that can help lower this is being encouraged, including reclaiming fees from unlawful charges.