The matter is that the banks are refunding the money because people are kicking up a fuss and the small amounts mean that is doesn't warrant a legal challenge in each case. So thats why the test case with all the banks together was brought on.
They are refunding the money because they have lost the first case and are scared now of the hardship cases that can go to court setting a precedent. Thats why they are refunding. they are on the run and holding onto as much money as they can earning as much as they can off of it until the day when they do lose the second stage at which point they know the flood gates will be opened. If they hadn't been so heavy handed and 'pompous' with their ridiculous charges to begin with then they wouldn't have had this problem but money breeds greed and contempt.
If you think its wrong for people to want money back that is rightfully theirs (and soon to be legally proven that it was illegally taken) then thats your choice and yours to make.
As for banks being soft then you must have some superb experiences with banks. I have had 2 bank accounts in my life. both rank and both charged me for things that were unchargeable (when I wasnt overdrawn charging me overdraft fees etc) as well as things that were 'in the t&C when even if you read the T&C several times there is no amount stated.
Each to their own and I hope your bank continues to please you. I know I wish mine would. lol
I was just answering the first post really as the guy asked if it was illegal. The answer to the first question is no it is not illegal but it could (and probably will) be illegal soon. The link is there as there is a full guide of what you can claim, how to do it, how much interest to claim for the time periods and the whole process of going through the small claims court etc. (You can claim the last 6 years of bank charges!!!)
p.s. the "small amounts" that have been successful on that particular advice forum I linked to so far totals £16,595,128 from 9717 successful cases!!! Tiny little pittence I'd call that. lol and all the cases that are 'stayed' in the courts are yet to come!!!
AC