The consumer group Which? didn't mince its words in a recent press release, accusing banks of levying 'complicated and exorbitant' overdraft fees.
Which? asked a group of consumers to take part in a challenge, by looking at mock bank statements from four different banks and working out how much each customer would be charged by their bank for using an unauthorised overdraft.
In total, the group only got seven out of 48 calculations right between them - despite one member of the group being a PhD maths student.
What's clear is that there is real confusion among consumers as to how much they would be charged if they went overdrawn without permission from their bank and whether another bank would charge them more or less.
Overdraft interest charges vary between bank accounts. Some banks charge a flat daily fee for overdrafts - and you need to take into account that the fee can vary depending on how big the overdraft is.
The British Bankers' Association released a statement in response to the Which? comments. It says: "charges for unauthorised overdrafts can be avoided completely, simply by keeping your account in credit or within an agreed overdraft facility".
The BBA also says that banks are introducing a new initiative whereby: "customers will also be able to opt out of overdraft facilities completely so that the account can't go overdrawn at all".
Consumers can already steer clear of overdrafts when they open a bank account with thinkbanking, as it doesn't allow customers to go overdrawn, but provides a money manager service designed to help them live within their means.
The BBA's statement goes on: "Most customers don't go into an unauthorised overdraft. Those who do so regularly should consider asking for an overdraft limit or review the way they operate their account. Whichever way you operate your account it's important to shop around for the best deal that suits you."
Clearly the BBA is stating an irrefutable fact - that an overdraft is an optional facility and people who manage their money well and avoid borrowing won't need to worry about being charged for going overdrawn without permission.
However, sometimes even the more careful budgeter can run into problems with their personal finances. If you can plan ahead and see that you'll need an overdraft, it makes sense to arrange it properly with your bank. If you're determined to avoid overdraft fees altogether, you could consider a bank account that has no overdraft facility at all.