This recession that we’re all in is said to be easing and so it should be with the amount of money the Government has pumped into the problem (FYI: for ‘problem’ read ‘banks’). The money, all £1.2 trillion of it, has been firing of the printing presses as fast as it’s been squirrelled away by those ‘lenders’ that have greatfully received it. And with all this money in the system, there’ll be no excuse not to pay out on bank charges claims. By the by, i’m not sure ‘lenders’ is an appropriate name for them at the moment.

The irony is; all this taxpayers money that’s being used will enable the banks to make fantastic profit off the back of us, as we have to settle for uncompetitive and seemingly unfair financial products. Take mortgages for example, the Bank of England’s base rate is at an all-time low of 0.5%, yet almost all mortgage and loan products have an interest rate at above 4%. And as for savings rates, they’re at one of the lowest points on record. All of this means there’s huge profitability available for banks, even more than they’ve experienced throughout the recent economic peak.

It seems that reclaiming bank charges and PPI could be the one and only way to get anything out of our current financial system, as savings and investments aren’t doing much. But if you do get your bank charges back, look out for familiar coins and expect a feeling of da-ja-vous as it’s our taxpayer money that will be used to refund much of the bank charges, due to the part-nationalisation of the banks.

Sure, the Government will get the tax money back off the banks eventually and no-doubt make a tidy profit from the interest on-top. But One can only hope Gordon’s played them at their own game and made sure it was at well over 4%.

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