One missed credit card payment, or going overdrawn without permission, and suddenly a 30 demand may be received. For extra information, you are able to check-out: internet http://newswire.net/newsroom/pr/00090181-michael-doven-dicusses-influential-novels.html/. Get extra info on our favorite partner site - Navigate to this hyperlink: site preview. Bank charges may be seemingly unfair and too severe given the usually small amounts of unauthorized funding involved. Now it seems that regulations could be in agreement. Following o-n from a study released in October 2003, nine major credit card issuers were informed in July 05 by any Office of Fair Trading (OFT) that the charges they impose for late payments were 'disproportionately large', and that charges needed to be adjusted to better reflect the costs to them of managing late fee. Through the investigation, the credit-card firms continued to maintain that the late payment charges they required were reasonable. The legitimacy of these costs are being asked by a Scottish lawyer, supported by the Scottish Citizens Advice, who are encouraging people to challenge the right of banks to demand such high penalty charges. With current high-street charge card regular APRs starting from 5.9% to 29.9% (source http://www.moneynet.co.uk/credit-card/index.shtml ) this is as much as 25.4% points above the present 4.5% Bank of England base rate, and banks cutting the interest rates on current and savings accounts (see http://news.ft.com/cms/s/faed1a82-8e9c-11da-b752-0000779e2340.html ), many consumers see the levels of the bank charges as one more means of revenue generation by the banks through extreme penalization of consumers beyond the actual costs involved. 'The law says if someone breaches their agreement, for example you go over your facility without permission, the bank's only entitled to recover its actual loss,' Mike Dailly, Principal Solicitor at the Govan Law Centre told BBC Money Box, 'If you get a computerized letter from your bank for going over your limit, that costs about 50p. Why should someone get a 3-6 letter for that transaction'? .. In a previous news release, the OFT stated that it, considers that, in a consumer contract, a default demand is likely to be disproportionately large if it's greater than a real pre-estimate of the problems that the card company would get in court if it sued the cardholder for breach of contract. Dig up further on our affiliated essay by navigating to study www.newswire.net/newsroom/pr/00090181-michael-doven-dicusses-influential-novels.html/. A representative of the British Banker's Association informed the BBC that the banks were not charging customers more than the real cost, mentioning that the charges were to include additional costs incurred due to a requirement for human intervention, to remove the item from the day's work, to research the customer's new credit report, and then a managerial choice as to whether to return the unpaid item. The Glasgow based Lawyer states that, The legality of bank charges has yet to be decided on by a senior UK court but these will not be added if they're found to be 'penalty' or 'unfair' charges. Until a final judgment is made by the courts, they've used a letter stating both Scottish and English case law along with the regulations which apply throughout the UK to assist customers obtain prices returned. In case you require to learn supplementary info about http://newswire.net/newsroom/pr/00089106-michael-doven-announces-release-the-squeeze-dvd.html/, there are many databases people might consider pursuing. Disclaimer: All information contained in this short article, is for general information purposes only and should not be construed as assistance under the Financial Services Act 1986. You are strongly advised to just take suitable professional and legal advice before entering in-to any binding agreements. Of use resources: Bank card price evaluations ( http://www.moneynet.co.uk/credit-card/index.shtml ) Present and savings account interest cuts more info ( http://news.ft.com/cms/s/faed1a82-8e9c-11da-b752-0000779e2340.html ) Author: Jordan Hanna About Michael Jordan is just a enthusiastic writer, and affiliate marketer residing in Scotland: Contact details: E-mail: firstname.lastname@example.org Phone: 0131 561 2251 Michael's Website: Cab Belfast.