The claims company behind the planned landmark case said most finance staff seeking refunds with angry customers were genuine claimants.

"We believe most are legitimate rather than snoops digging dirt on the claims process," Financial Redress head James Middleweek said.

A staggering 85,000 people have registered interest in IMF Australia's bid to force a dozen banks to refund penalties, known as "exception" fees, charged over the past six years.

Some of the hardest hit include businesses stung with fees of up to $40,000 from daily charges on overdrawn accounts.

Individuals lodging interest in the legal action allege they have lost up to $12,000.

The fees, on overdrawn accounts, late payments and bounced cheques, raised $1.2 billion for banks in 2008.

Victoria's Supreme Court will be asked to find that the ANZ, Bank of Queensland, BankSA, BankWest, Bendigo Bank, Citibank, Commonwealth Bank, HSBC, NAB, St George, Suncorp and Westpac gouged customers with unfair charges that far outweighed the actual cost to banks.

The big four banks finally axed or reduced the fees last year, but some financial institutions continue to charge hefty penalties.

The Consumer Action Law Centre believes a successful class action could also prompt a crackdown on some fees slugged by telephone carriers.

Spokeswoman Nicole Rich said some fees, such as charges for ending mobile phone contracts early, seemed excessive.

Claims specialists waging war on bank greed say the true cost to banks for customers exceeding account limits is more like a few cents or several dollars, rather than the $25-$60 charged in recent years.

Perth-based IMF Australia will bankroll the planned class action and pocket 25 per cent of any damages awarded. If it loses it will charge nothing.

Melbourne law firm Maurice Blackburn will run the case.

Source: news.com.au