Kiwibank named as next target in fees lawsuit
KIWIBANK is the next bank to face a lawsuit over charging allegedly unfair fees.
The government-owned bank was today named as the next target by the Fair Play on Fees group fronted by Auckland lawyer Andrew Hooker.
Kiwibank customers have until 11pm on Thursday November 21 to register to join the lawsuit.
Kiwibank is the second bank to be named alongside the ANZ as a target for the lawsuit.
Last month the High Court gave ANZ/ National Bank customers until December 13 to sign up to a lawsuit against the bank over fees.
Fair Play on Fees lawyer Andrew Hooker lodged documents against the ANZ - New Zealand's largest bank - in June this year.
The case against the bank alleges that default fees charged by the bank in situations such as unarranged overdrafts, bounced cheques and late and over-limit credit card fees are "unenforceable penalties" and should be paid back to customers.
"The reason that an unarranged overdraft fee on a deposit account is unfair is the same reason that a credit card late payment fee is unfair - these fees are set far above what it actually costs the bank to manage the default that arises," said Hooker.
The next administrative hearing is expected to occur on November 28. A court date for the trial is expected to be set early next year.