How to challenge a bank charge or fee you think is wrong

Bank charges can appear on statements with very little explanation. An overdraft fee. A returned payment charge. A monthly account fee that was supposed to have been removed. Some of these charges are correct. Others are applied in error, are higher than they should be, or are the result of a bank not communicating clearly about what would trigger a charge. Many are reversed when customers query them directly.

Start by understanding what the charge is for

Before disputing anything, find out exactly what the charge relates to. Log into your account and look at the transaction details. Check your terms and conditions for the relevant fee schedule. If the charge is listed there and was applied correctly, disputing it on the grounds that you did not expect it is unlikely to be successful. But if the charge appears wrong, was applied after you were told it would be waived, or relates to a service you did not agree to, that is a different matter.

Call or message the bank directly

The simplest first step is to contact your bank and ask them to explain the charge and whether it can be reversed. Many banks will waive a single charge for a good customer, particularly if it is a first occurrence. Be calm and specific: explain what the charge was, when it appeared, and why you believe it should be reversed or reconsidered. You do not need to be aggressive. A clear, factual explanation is more effective.

Keep a note of when you called, who you spoke to, and what was agreed. If the bank agrees to reverse the charge, check your account within a few days to confirm it has been applied.

If the first call does not resolve it, make a formal complaint

If the bank refuses to help and you believe the charge was wrong, you can make a formal complaint. Banks are required by the FCA to acknowledge complaints within five business days and to provide a final response within eight weeks. A formal complaint carries more weight than an informal query and triggers a proper review process.

Put your complaint in writing, either by email or through the bank's online complaints form. State clearly what happened, what you believe should have happened differently, and what outcome you are looking for. Keep a copy of everything you send.

Escalate to the Financial Ombudsman Service if needed

If the bank's final response is not satisfactory, or if eight weeks pass without a response, you can refer the complaint to the Financial Ombudsman Service (FOS). The FOS is free to use, independent, and has the power to require the bank to refund charges and pay compensation if it finds in your favour. You have six months from the bank's final response letter to refer the complaint to the FOS.