The Bank of Scotland has been charging Package Bank Account (PBA) fees for many years, and certainly since 2000. In similar vain to that of mis-sold Payment Protection Insurance (PPI), the Banks have taken the opportunity to use clients, and the fact that they have banking arrangements with them, to obtain a strong financial stream for the bottom line of the Banks’ balance sheets.

The fees that are charged by the Bank of Scotland for its Package Bank Account facility can range from between £15 and £25 per month, with the Bank justifying this fee by adding bolt-on products that form the package side of the bank account. The PBA, as it is called, can include a variety of aspects and cover, including that of travel insurance, cheap days out, and in some cases roadside assistance.

However the Banks, and in particular the Bank of Scotland, rather than promoting the product as a stand-alone facility, have in most cases forced clients into taking the account and giving them no option to use any other accounts, in particular those that are free. The Banks have suggested to clients (in order to justify the mis-sell) that there are no options, or that the options that they do have are both inferior and will not provide the client with the service that they require. Unfortunately these are untruthful statements and the Banks (in particular Bank of Scotland) have now, following a review by the Financial Conduct Authority (FCA), been shown to have mis-sold these particular packaged accounts and refunds are now being obtained where a mis-sale has been quantified.

At the moment, approximately 11 million Package Bank Accounts (PBA) are available throughout the UK, with many of these potentially being mis-sold. Therefore if you have an account with the Bank of Scotland (RBS) that is one of the packaged account facilities – and you can tell this by the fact that you are paying a monthly fee for the account, then you have an opportunity to look at recovering not only the fees that you have been charged since the account was open, but also the accumulated interest and penalty interest that the Bank would have to refund should a mis-sale have taken place.

In order for a mis-sale to have taken place, the account would have needed to have been sold incorrectly, which was the case in many of the transactions. In order for a mis-sale to take place the Bank will have had to have not provided alternatives and basically, as they did, not give you an option when taking the facilities, or not establishing if the various elements of the package facility are applicable to you.

We have been dealing with the recovery of Package Bank Accounts (PBA) for a number of years and this is on the increase. Therefore this is something, as a client, you should address.

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