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Bank Charges customers given fresh hope

By Elliot Wright, 15th December 2009

The battle of the bank charges may soon begin again according to campaigners.

Following the banks' victory in the bank charges case at the Supreme Court last month, Consumer group Moneysavingexpert.com has now suggested that consumers may be able to challenge the charges on different legal grounds.

After taking legal advice from a top banking lawyer, the group said that section 140 of the Consumer Credit Act may apply when challenging the fairness of bank charges.

Under the act, it is up to banks to prove that their charges are fair, rather than for the consumers to prove they were unfair.

Under the Consumer Credit Act, it is up to banks to prove that their charges are fair, rather than for the consumers to prove they were unfair.

The group has urged the Office of Fair Trading to consider the new legal avenues available although the OFT has yet to release its response to the Supreme Court Ruling.

Consumers may also receive a boost from the government after several MPs highlighted concerns about the fairness of bank charges. Among them were Liberal Democrats leader Nick Clegg who said: "Banks must not be allowed off the hook after the astonishing court judgment last month - the fight must go on."

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