I am delighted that this week we have finally seen a proposal to ban banks from charging rip-off unarranged overdraft fees that regularly penalised the most vulnerable customers and cost some people thousands of pounds a year, writes Sir Kevin Barron MP.
I joined with consumer champion Which? and more than 80 fellow parliamentarians in May in signing a letter calling on the Financial Conduct Authority (FCA) to bring an end to these excessive charges.
Which? has been campaigning on this issue for years and welcomed this week’s strong action from the regulator
This week, the FCA announced that banks will no longer be able to charge higher prices for people who go over their arranged overdraft limit, in radical new proposals set down by the UK’s financial watchdog.
Finally, banks will no longer be able to charge rip-off unarranged overdraft charges, which have long penalised their customers, many of whom can afford it the least.
This will come as a massive relief for all those regularly hit with such extortionate charges, which cost some people thousands a year.
The regulator must now ensure these important changes are swiftly introduced and enforced to finally stop this unfair practice and put an end to these excessive fees.
Finally, I would like to wish everyone in Rother Valley a very Merry Christmas and I hope that you all have a restful time.
I would like to pay tribute to our emergency services and armed forces who will be working throughout this period.
They all provide an amazing service throughout the year.