Last Thursday, campaigners got a huge leap closer to a permanent reduction in bank charges for UK citizens. In The High Court, judgement was passed which says that the Consumer Contract Regulations do apply to bank charges and that fairness does, indeed, count. Banks have made millions every year by imposing punitive charges on people at the time they can least afford them.

This judgement is hugely important and clears the way for the Office of Fair Trading to decide that the charges levied by the banks are unfair. They then have to reach agreement with the banks. If they can’t agree, then it’s back to court. The banks stand to lose huge amounts as claims can go back 6 years.

I have one friend who has made a successful claim with a bank which has taken a responsible decision to settle early. He received £6,000 in back charges, completely wiping out his loan with the same bank! It’s definitely worth it, then, to sort through old statements and get a claim in. The time to get the claim in is now, even though it may be kept on hold while the test case finishes. When the court takes the brakes off, there will be a rush. Get yourself ahead of the queue now.

Martin Lewis has some great letter templates and full instructions on his site. Don’t delay, it could reduce your debt or even see it gone!