Yes but surely if the High Court ruled it was ok for banks to charge penalties then the bank will simply say they are within their rights and that's the end of the story...especially with Lloyds ? I know they will argue that it is my responsibility to keep my account in order and how do you argue against that? Just wanted to know for sure if they are able to impose charges if the cause of the account being over the limit was their charges? Seems like they are?

Thanks for the reply. I usually manage to stay within my overdraft limit and I have text alerts so I know if I need to get money in there. I pay £8.95 a month just for the privilege of having my account and then of course there is overdraft interest on top of that. Occasionally the bank charges push me over the limit and due to varying circumstances I can't get to the bank before 3:30pm to pay money in. This results in a £22 charge...which I find outrageous anyway...what kind of interest is that?! So if it happens that the £22 charge plus the £8.95 monthly fee then push me over the following month they charge me yet again. I know it's my responsibility to make sure my account does not go over the limit but it's not a perfect world and circumstances can sometimes conspire to leave you in a situation where you either can't get to the bank or something unexpected crops up that leaves you short of cash. I have just been charged a total of £44 because overdraft fee's put me over last month. I don't see how anyone can justify these fee's. They are ridiculous amounts for for such a small amount overdrawn. I had previously been charged £35 for going £4 over my limit! How can that be justified? Anyway, just wanted to check on the situation re being over my limit because of charges.

Just wondered if any bank but Lloyds in particular can charge for going over your agreed overdraft limit when it is their charges that have put you over the limit? My understanding was that they could not but thought I best check here. Thanks