Chasing Unpaid Fees: A Three-Year Limit to Recover Unlawful Bank Charges
Application Status Remains Pending for the Proposed Scheme
Consumers can now reclaim improperly charged account fees from banks and savings banks, but for how long? The Federal Court of Justice (BGH) has recently clarified the statute of limitations for these claims.
Initially, it was uncertain when these claims for repayment would expire. This uncertainty arose after the BGH's ruling in April 2021 declared certain consent clauses in bank contracts invalid. These clauses often implied that customers agreed to changes in account fees.
The BGH's decision, however, did not set a time limit for reclaiming unlawful charges. Instead, it follows the general statute of limitations in German civil law, which is three years from the end of the year the claim arose [1]. The consumers' awareness of the invalidity of the clause is not a factor that triggers the start of the time limit.
In the case of the Berlin Sparkasse, the Federal Association of Consumer Centres brought a model declaratory action against the bank over a consent fiction clause in their general terms and conditions. Under this clause, silence from customers was considered as agreeing to changes in account fees. The BGH deemed this practice ineffective in April 2021, as changes in bank terms and conditions should not rely on silent consent [2].
Recovering Unlawful Bank Fees
With the BGH's latest ruling, consumers have a three-year window to reclaim unlawfully charged account fees. While awareness of the invalidity of the consent clause may not be necessary to start the time limit, it is important to act within this timeframe or any applicable limitation period to avoid losing the right to reclaim unpaid charges.
When navigating the process of reclaiming improper fees, it's always best to seek advice from a legal professional or financial advisor familiar with German law and the BGH's rulings.
References:[1] German Civil Law statute of limitations[2] German Federal Court of Justice (BGH), Az.: XI ZR 45/24
Tags:- Federal Court of Justice- Banks- Judgments- Consumer Protection- Savings Banks- Consumer Centres- Legal Questions
- In light of the recent ruling by the Federal Court of Justice, consumers now have a three-year window for reclaiming unlawfully charged account fees, making it essential to seek vocational training in finance or business to navigate the process effectively.
- Vocational training in finance or business is crucial for consumers to ensure they act within the three-year time limit for reclaiming unlawfully charged account fees, as stipulated by the Federal Court of Justice's latest judgment on consumers' rights in banking matters.
