Packaged Bank Accounts (PBAs) are highly profitable for banks, as they generate a passive revenue from numerous fees that mount up year after year. For about 30 years, it has been standard practice for banks to offer PBAs. In the more recent past, to remain competitive and profitable, banks marketed PBAs to new and existing customers as a means to stay at the forefront while greatly increasing their margins. Eventually, however, the banks faced a harsh public backlash.
After an investigation launched in 2012, the Financial Conduct Authority (FCA) decided that consumers must be given the right to receive a full refund and compensation for these abusive banking fee practices. Refund would have to include the fees paid, interest and statutory interest.
An estimated 1 in 5 customers were mis-sold their account when they were pressured or misled by the bank.
You may have valid grounds to make a claim if;
The bank/provider did not tell; you could have a fee-free account instead.
You have tried to cancel or downgrade your packaged bank account but you were told you cannot.
If your bank account was upgraded without your consent.
You were told that you would have a better chance of obtaining a loan.
You were told that the bank account was mandatory.
You were told that your credit score would be improved.
You didn’t know you had a packaged bank account and that you were paying a fee
You have been fallen into financial difficulties as a result of your packaged bank account.
The bank staff didn’t tell how the insurance policies worked under the packaged bank account (PBA).
The bank staff didn’t discuss your needs and objectives.
The benefits were not suitable for your needs, e.g. Had Car breakdown cover, Travel Insurance but did not own a vehicle or ever travel.
You were living abroad at the time the PBA was sold to you; You may not have been able to benefit from the Insurance policies on the PBA.
Whether you are still paying or you have paid for a Packaged Bank Account, we could help you to get back your compensation too. We can start your claim irrespective of your accounts being open or closed even if the PBA payments have ended. Whether you are with NatWest, HSBC or others, get in touch with us today!