Fitz Jackson still going ahead with class action suit over banking fees

The Member of Parliament for St Catherine South, Fitz Jackson, says the decision of some banks to suspend fees for dormant account will not stop him from going to court to compel them to pay compensation.

Jackson is of the view that the banks only took the decision after realising that their action breached the law.

In the past two weeks, the National Commercial Bank, First Global Bank, Scotiabank Jamaica and First Caribbean International Bank have announced that with immediate effect they would suspend collecting fees on dormant accounts.

The MP is contending that the charging of fees on dormant accounts contravenes provisions under the Banking Services Act.

In an interview on Power Talk on Power 106FM this afternoon Jackson said he’s in consultation with his lawyers on the suit and is to make a public announcement on the matter shortly.

He said the only way he would not take the banks court is if they fully terminate collecting dormancy fees and refund depositors or pay compensation.

Jackson, who has been advocating for stronger banking regulations and consumer protection, has tabled a private members motion in parliament seeking amendments to the Act.

Among other things, the legislation proposes regulating fees and charges by deposit-taking institutions and minimum service standards for customers.

The bill has received strong push back from the financial sector with financial institutions arguing that the government should not dictate fees in a free market economy.

Earlier this month, Finance Minister Audley Shaw told parliament that there’s an estimated 45 billion dollars in dormant accounts.