Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Deadline Set for Kiwibank Customers to Sign up for Class Act

7 March 2014

Deadline Set for Kiwibank Customers to Sign up for Class Action

The High Court in Auckland made a series of initial orders yesterday in the bank fees class action against Kiwibank.

Importantly, the Court has confirmed the opportunity for thousands more Kiwibank customers to sign up to the case, ahead of a final deadline of 31 March 2014.

Fair Play on Fees lawyer Andrew Hooker says the ruling is great for potential claimants. “We’ve not been able to guarantee the inclusion of those Kiwibank customers who’ve come forward since we issued the case in November last year. Now we can confirm that all Kiwibank customers have three weeks to come forward and join this important action.

As part of this procedure Kiwibank provided the Court and its customers with an assurance that customers who participate in the case will face no discrimination from the bank.

“We expect that thousands more Kiwis out there who are still eligible to join the case. We will be urging Kiwibank customers to consider their rights to join over the next three weeks. Anyone coming forward after 31 March will find that it is too late to join this case”.

The High Court has also given the proceeding the green light to proceed as a representative action, and approved the litigation funding arrangements between the claimants and funder Litigation Lending Services.

Mr Hooker said “This case shows the advantage of class action proceedings. To run this kind of case on your own would be almost impossible but together we can challenge the banks’ fee charging practices.”

The case alleges that the following default fees charged by the bank over the past few years are unenforceable penalties which should be returned to participating claimants:

• Unarranged overdraft fees;

• Dishonour fees;

• Credit card late payment fees;

• Credit card over limit fees.

Fair Play on Fees has announced that, in addition to the ongoing cases against ANZ and Kiwibank, it will also be issuing cases against ASB, BNZ and Westpac.

A similar action run in Australia resulted in a judgment last month which found that credit card late payment fees were unfair penalties that the bank was required to repay. Lawyers for the claimants in that case lodged an appeal this week against the court’s findings that the other default fees were not penalties. That appeal is likely to be heard later this year.

The Australian case also found that claimants who operated under the belief that the bank was entitled to charge the fee were not constrained by the usual six-year time limit for bringing a claim.

“The law in New Zealand regarding time limits closely mirrors the relevant Australian legislation, so we are hopeful that these cases will now be able to claim unfair fees going back decades.”

A court date for trial proceedings in the Kiwibank case is expected to be set later this year.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Trade Agreements: TPP Minus US Starting To Gain Ground

The Japanese government is picking up the pace on reviving the Trans-Pacific Partnership trade and investment deal, with talks scheduled next month among the 11 countries left in the pact after the withdrawal by the US after the election of president Donald Trump. More>>

ALSO:

PACER:

Prices Up 2.2%: Annual Inflation Highest In Over Five Years

"Rising petrol prices along with the annual rise in cigarette and tobacco tax lifted inflation," prices senior manager Jason Attewell said. "Petrol prices in New Zealand are closely linked to global oil prices, and cigarettes and tobacco taxes rise in the March quarter each year". More>>

ALSO:

Undertaxed? NZ Income Tax Rate Second Lowest Among Developed Nations

New Zealand workers pay the second smallest portion of their income to the government among developed nations and less than half the average ratio of their Organisation for Economic Cooperation and Development peers. More>>

ALSO:

Cyclone Cook: Round Up Of This Week’s Weather

One of the significant impacts this week was flooding due to excessive rainfall amounts. Rainfall amounts topped out at 350mm over the past 60 hours in parts of northwest Nelson, with 200mm+ measurements recorded about Coromandel Peninsula, and between 150-200mm in the Kaimai Ranges. Rainfall amounts of between 30-50mm were commonplace elsewhere. More>>

ALSO:

Earlier: Batten Down The Hatches For Cyclone Cook

Although fast-moving, Cyclone Cook will be destructive and MetService Expert Meteorologists have issued Severe Wind Warnings for the whole of the North Island apart from Northland... More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news