British banks are appealing the decision of the High Court which stated that unauthorised overdraft charges could be assessed for fairness, according to reports.
The landmark test case has been described as having a potentially huge impact on consumers, with financial research firm defaqto asserting that the stakes for both sides are extremely high.
However, with the banks appealing the decision, there is likely to be a lengthy judicial process seen before a final result is attained.
Following a Court of Appeal hearing, the case could go on to the House of Lords or even the European Court of Justice, the group notes.
"If the original judgement is ultimately upheld and a substantive hearing rules that the charges are unfairly high the most likely outcome is that a cap will be placed on the charges," said David Black, principal consultant of banking for Defaqto.
For those looking to clear debts, a reduction in overdraft charges may come as a welcome relief.
The High Court decision to assess the charges for fairness was made late last month.