Bank charge refunds could stay frozen

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While the weather may have been a little warmer in recent days, some things in the UK are likely to remain frozen, it has been revealed.

Anyone eagerly anticipating a refund of charges imposed by their bank for going into an unauthorised overdraft could be in for disappointment.

Financial services providers have been in the dock recently as the Office of Fair Trading (OFT) pursues a test case through the UK courts.

But now the judge in the case, Justice Andrew Smith, has suggested an extension to the freeze put in place to protect customers until the case is resolved, reports the BBC.

"Many proceedings have been on hold in the expectation that this hearing will assist the management of the county court litigation," he told the broadcaster.

"I havent discerned anything during the hearing that undermines that expectation."

He added that county courts should be made aware of his opinions on the matter - but the banks may disagree.

According to the BBC, this week marks the end of the automatic freeze on handling complaints.

The banks may therefore wish to begin looking at their customers disputes ahead of any legal precedent being set in the courts.

Meanwhile, a new report published by the OFT calls for greater protection to be extended to credit card customers.

Research conducted by the organisation found that only 30 per cent of consumers carry out credit card comparison when taking out a new product.

This could mean many are missing out on the best deals or the packages most suitable to them, the OFT suggests.

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