It was reported in the Times that the Royal Bank of Scotland ‘has reduced its overdraft charges ahead of a decision by the House of Lords over the legality of the controversial fees.’
According to the Times the new fees which come into effect on the 1 October 2009, ‘will see will see the cost of a bounced cheque or an unpaid direct debit or standing order fall from Â£38 to Â£5. The charge for paying an item on an overdrawn account will fall by half to Â£15.’
The above is an indication perhaps that the banks are beginning to conceded that the charges levied on their customers are grossly exorbitant and unfair.
However, it is predicted that once the judgment of the House of Lords is released it is likely that the banks will lodge an appeal with the ECJ provided of course, the House of Lords decision is not in favour of the banks.
The full article can be accessed at the Times Online: