Penalty charges seem to be having more of an effect than we thought.

The test case taking place for bank penalty charges is making banks fearful about hefty future losses of their current account income.

Because of this, many banks have recently begun to change the way that they charge for overdrafts and, through doing this, have turned the task of working out charges into a complicated and testing ordeal for many of you! (although you knew that already didn't you?)

Data analyst Moneyfacts has revealed that an unauthorized breach of overdraft of £100 (one that you subsequently take 14 calendar days to pay back) can cost you vastly different amounts of money depending on who you bank with.

For example:

• The cheapest is HSBC's bank account at £25.72
• The most expensive is Lloyds TSB's Classic Plus account at £165.72

Other examples for an unauthorized £100 overdraft are:

• Nationwide building society's Flexaccount charges £42.46
• Halifax's high interest current account charges £64.10

Towards the end of 2007, both Alliance & Leicester and Lloyds TSB abandoned their old charges on unauthorised overdrafts for a new fee 'scale' that left many of you utterly baffled!

For example, A&L dropped its combination of a 5.9% unauthorised overdraft interest rate and £25 penalty fee (capped at £50 a month) for a flat £5 per day; and it is uncapped, so you could pay as much as £155 a month for going over your overdraft!

Meanwhile, if you were a First Direct customer, you were told you would no longer receive interest on your current account, but the cost of emergency unauthorised borrowing would be lowered.

Kevin Mountford at price comparison site Moneysupermarket.com said:

"'Such changes have been so confusing; something needs to happen [with the test case] so that the market can move forward from this."Worse, there has been a lull in the current account switching market because of the OFT [case]. '

Meanwhile, Moneyexpert.com, has reveled information that suggests that current accounts remain one of the most 'sticky' and apathetic products for us all:

Product and the % of people who have switched in last 6 months:

• Loans 2%
• Mortgages 4%
• Bank accounts 5%
• Home Insurance 10%
• Broadband 11%
• Credit cards 12%
• Gas 13%
• Electricity 15%
• Car insurance 15%

(If you want to change any of the above, then you can switch with confidence here)

Most of you who want to switch current accounts want a cheap overdraft (if you spend a great deal of time in the red) or decent credit interest (if you stay in the black).

Abbey is offering 8% interest on balances up to £2,500 to those of you looking for credit interest, but the interest drops to 2.5% after 12 months.

For those of you always in credit and earning more than £15,000, it is worth looking at the Alliance & Leicester Premier Direct Online current account which pays 6.5% on balances of up to £2,500, falling to 4.75% a year later.

If you are always overdrawn, best-buy tables recommend the same A&L account because of its 0% authorised overdraft for 12 months followed by its new 50p-a-day regime (to a maximum of £5 a month).

It is also worth looking at Halifax's Moneyback account, which charges you 6.9%.

So, if you are baffled by the current state of your current account, then it is worth looking at the accounts mentioned above.

And while you are at it, why not get a quick personal finance check up for the New Year?

Use the Money Hospital health check to get a diagnosis on your finances and see what money medicine you need.