Bank Charges

I'm no expert on this but, from what I understand, banks are entitled to levy charges on you in line with their terms and conditions (updated versions of which they MUST send you). However, those charges must be fair and proportionate - £30 for a standard computer-generated letter is neither.

spot on

Over the last couple of years, people have been going through the process of reclaiming unfair charges using template letters available on numerous websites. I believe there have been legal challenges from the banks, though most seem to just pay up and - if the jury is proverbially still out - it appears to be favouring the customer.

exactly. Every claim made now gets put on hold, pending final ruling. But make it anyway, it'll get processed faster.

One problem I have heard of though, is of banks paying up and then closing accounts. Not an issue if you're in credit and can take your business elsewhere. But if you have a significant overdraft, you could find yourself having to find a way of repaying it fairly quickly. Plus all the hassle of setting up standing orders, direct debits, etc. with another bank. And if your finances are half as chaotic as mine........

might have been true in the very early stages of this (when banks were paying out without question), but almost certainly not the case now.