Risks



Watch for other charges.

Monthly fees on current accounts aren’t the only threat to free banking. High costs if you break any of your account rules are creating huge controversy with critics saying banks are profiteering wildly out of our mistakes. The Office of Fair Trading is examining if charges are unfair – and if they need to be cut. In the meantime a host of pressure groups are campaigning to get excessive costs returned.



Take a look at www.consumeractiongroup.co.uk or www.bankchargeshell.co.uk for more information. The Daily Mail’s money reporters are also on the case and they have put together a template letter that bank customers can use if they want to reclaim excessive costs. You can find it at www.thisismoney.co.uk under Saving & Banking. Of course the best way to avoid being ripped off by excessive penalty charges is to avoid paying them in the first place. So if you think you are going to go overdrawn, for example, you need to ask your bank’s permission first – overdrafts can normally be agreed instantly on the phone, in branches or even online.