A boss of a bank you may never have heard of says customers are losing out because of the way the industry operates.
Andrew Bailey, deputy governor of the Bank of England, who is in charge of regulating banks, has warned he will take more action on bonuses.
"Good with money" is a slogan the Co-operative Bank dropped 18 months ago.
Banks are charging too much for the use of overdrafts, new research from the Financial Conduct Authority (FCA) has found.
People don't tend to consider the cost of overdrafts when choosing a bank account, leading banks to offer uncompetitive rates, the regulator found.
It added that the costs attached to such borrowing "can be so complex and opaque that even the most astute consumer could struggle to understand what they are paying for".
The study looked at charges incurred on both arranged overdrafts - those agreed in advance with a bank - and unarranged overdafts - where a bank allows a customer to exceed their agreed current account borrowing.
Many customers also use overdraft borrowing as a "habit" once it is made available to them, the FCA said.
Conservative MP Andrew Tyrie, chair of the parliamentary commission on banking standards, has welcomed Andrew Bailey's plans to defer bankers' bonuses by up to seven years.
"There is always the risk in banking that people get rewarded for short-term, apparently good, decisions which turn out to have something rotten in them later on," he told ITV News.
"It's crucial that our regulator is really attentive to that and that's why we do need long deferral of remuneration."
Senior MP Andrew Tyrie responds to BoE warnings: "Bailey is clearly putting down a marker that he will be a tough regulator." watch ITV at 6
Conservative MP Andrew Tyrie is chairman of the Treasury Select Committee.
Deputy governor of the Bank of England Andrew Bailey told ITV News the point of having regulation on pay is to make bankers understand a bonus could be "taken back".
He said: "For me it's about...making bankers understand that their remuneration is not riskless, in the sense that, once it's deferred, it can be taken back."
Deputy governor of the Bank of England Andrew Bailey told ITV News that bankers' bonuses should probably be delayed between five and seven years instead of the three-year deferral currently in place.
The Parliamentary Commission on Banking Standards previously suggested up to a 10-year bonus delay but Mr Bailey told Economics Editor Richard Edgar that retirement had to be taken into account.
He said: "You've got to balance that against, what might be a rather common sense argument, about what is the expected length of people's working lives.
"I'm not in the business of deferring for a long time into retirement."
Deputy governor of the Bank of England Andrew Bailey has told ITV News that the three-year deferral of bankers' bonuses should be increased but played down suggestions of a decade-long delay.
The Parliamentary Commission on Banking Standards previously suggested up to a 10-year bonus delay but Mr Bailey suggested the time limit implemented should "probably be somewhere in between" three years and a decade.
He told ITV News Economics Editor Richard Edgar: "The reason deferral matters, to coin a phrase, is that it creates skin in the game.
"The skin in the game is that the deferred but unpaid money can be taken back and a lot more of that taking back goes on now than took place in the past, so when problems subsequently emerge which cause costs to banks and their customers that deferred remuneration can be hit and it is.
"But I would like to see deferral increased."
Co-op's Chief executive Niall Booker said the proposed £400m capital needed for its banking arm would enable to "reset this starting point" and continue with the "execution of our original business plan."
- The bank said continuing "root and branch" reviews of processes, procedures and documentation had produced further conduct and legal issues.
- One-off costs associated with the separation of the bank from the Co-operative Group have proved more costly, time-consuming and more complex than anticipated.
- Its capital ratio - a measure of its financial strength - is now expected to be around 7.2%, compared with previous guidance of near 9% and against the regulatory minimum requirement of 7%.