Politicians look at ‘unfair’ bank fees

Unfair bank fees and charges persist and the government should take action against financial institutions who continue to use them to bolster profits say consumer groups. A parliamentary inquiry looking at the issue also is concerned about banks raising interest rates outside of moves to alter the cash rate by the Reserve Bank. Exit fees on mortgages, default fees, interchange fees and fees on subsidiary linked products like credit insurance need to be reviewed or abolished say consumer advocates. Mortgage exit fees range from zero to $7,580 on a $250,000 home loan according to an ASIC review of the industry.

Source: The Australian Financial Review