CANBERRA, Australia - The big Australian banks are gearing up to protest the government??s plans to jettison over-the-limit fees for credit cards and to prohibit credit limit upgrades, The Australian reports. CBA, the National Australia Bank and Westpac submitted criticisms of the proposals.

Late last year, the government proposed banking reforms that included elimination of over-the-limit fees, which were around $9 each instance of exceeding the credit card??s limit. However, the Treasury??s draft of the bill had tougher restrictions, including forbidding banks from sending consumers unasked for credit limit increases. The bill would require customers to request an increase in credit limits.

The bank submissions will probably argue that over-the-limit fees are necessary because the banks provide customers a service in letting the transactions to happen even though the card??s limit has been reached. The banks had two business days to respond to the proposals.

"The Commonwealth Bank is concerned at the short consultation period and also the short period before introduction of any legislation," read a statement from the bank. "The bank believes that the issues raised should be thoroughly debated and considered before introduction."

The legislation will be introduced prior to March 21.