Citibank

[tedski]

I've held a Citibank MC or Visa for about 15 years now. Always been a loyal customer and paid on time.

Yesterday, I got a letter stating my interest rate would be increased to 18.99% (up from 7.99%) so they could "continue to provide customers with access to credit."

WTF?

I called and asked the customer service rep: "So I guess the $20 billion in taxpayer bailout money wasn't enough ... so now consumers are being asked to bend over on an individual basis?"

There was total silence for about 20 seconds ... I thought the call was disconnected. He then said "I have no comment"

So I told him to cancel my account and to give Vikram Pandit a message from me ... :angerFU:

 

[bballbaby]

I got that same thing yesterday.

good thing my account only has a balance of $132,894

 

[RonC]

we got screwed by the banks, and our politicians let them do it.

shit like this really proves how f#ckin stupid our politicians really are. most of them could not run a lemonade stand, never mind the US economy.

 

[jwintosh]

ah man! that sucks!! i have the american airlines visa through citi. i try to keep it paid off each month. and flying for a couple bucks has its benefits! but at 18.9%? there goes the bene...

 

[Señor Maduro]

Fargen Bastages!!

A Squeeze on Customers Ahead of New Rules

 

[hdroadglide]

just another way our government tries to "help" us. put limits on what the credit card companies can do, but then do put it into effect for a year so they have time to jack everything up anyway. NOTHING the gov't ever does helps the common man. EVER.

 

[Jet-Rod]

Yesterday, I got a letter stating my interest rate would be increased to 18.99%

You are one of the lucky ones. My Citi card went to 23.99%.
They consider me a dead beat because I always pay off my card
every month $18 or $1800. I know one of these days I'll probably
need the credit and it will come back to bite me. These credit card companies
really piss me off:angerFU::angerFU::angerFU::angerFU::angerFU:

 

[caseabb]

Got the same letter. I carry no balance use the card infrequently. It has a 25K limit and the interest rate raised from 9.4% to 29.99%. That was my first card had had it for 12 years. I told them to shut it down. F those guys!

 

[PLUSH]

I got the same thing, there is a number to "opt" out.

 

[Fox]

Yep. . .Just like we are paying mortgages for those who lived beyond their means, now they want us to pay for all of their consumer goods as well. . .:angerFU:

 

[mav_sd]

I got the same letter. YOu can OPT OUT and your terms will remain the same until the card expires or the end of your annual term... whichever is LATER.

You can use the account exactly the same until that date, and if there is stil a balance, you can look at "offers" at that time, or close the account and continue to pay down at that rate.

We'll be consolidating onto our credit union account. We'll see how long it is before that one gets jacked up.

 

[e-man67]

CRAP! I have the same damn card...:sadstare:

 

[Starz26]

I got the same letter. YOu can OPT OUT and your terms will remain the same until the card expires or the end of your annual term... whichever is LATER.

You can use the account exactly the same until that date, and if there is stil a balance, you can look at "offers" at that time, or close the account and continue to pay down at that rate.

We'll be consolidating onto our credit union account. We'll see how long it is before that one gets jacked up.

Typically when you "Opt-Out" of the new terms your account is not available for further charges. Your previous balance can be paid under the original terms but the card is essentially closed.

 

[mav_sd]

I ddin't call for clarification yet, but here's what the Opt-Out section reads:

"You may opt out by calling or writing us by December 28, 2009, unless you become 60 days late. If you opt out of these changes, you may use your account under the current terms until the end of your current membership year or the expiration date on your card, whichever is later.

At that time, we will close your account, which means you will no longer have access to credit on this account. You can continue to repay the balance under the current terms."

So I guess I need to call. "use your account" to me means you can use the account...

It does look like the account will close upon the expiration of the account/card... I plain misspoke there now that I look at the page.

 

[Starz26]

I ddin't call for clarification yet, but here's what the Opt-Out section reads:

"You may opt out by calling or writing us by December 28, 2009, unless you become 60 days late. If you opt out of these changes, you may use your account under the current terms until the end of your current membership year or the expiration date on your card, whichever is later.

At that time, we will close your account, which means you will no longer have access to credit on this account. You can continue to repay the balance under the current terms."

So I guess I need to call. "use your account" to me means you can use the account...

It does look like the account will close upon the expiration of the account/card... I plain misspoke there now that I look at the page.

I would take that the same way. That is different than every change I have seen sent to me....still sucks though

 

[mav_sd]

OK guys, for what it's worth... I just got off the phone with these folks... not a lot of good news... as expected. However, thanks to Starz' prodding, I did get clarification on the OPT OUT option.

If you opt out, the account will remain unchanged and can be used (you will have access to your credit line) until the end of your membership year or the date on the card whicheer is later. After that, the account is closed and you are simply paying on the remaining balance.

And yes, it does suck. Thanks Uncle Sam.

 

[El Jefe]

I got the same notice on my two Citibank cards. Them bastards raised my rates to 19.99% on both. Luckily, I only have two balance transfers on each card. One for 1.99% for the life of the transfer and the other for 4.99% for the life of the transfer. Unfortunately, they can revoke that deal at any time, I'm sure. Then I'd really be screwed.

 

[bballbaby]

phew! I'm opting out for sure. haven't used a credit card in over a year now...that's a good feeling.

 

[tedski]

OK guys, for what it's worth... I just got off the phone with these folks... not a lot of good news... as expected. However, thanks to Starz' prodding, I did get clarification on the OPT OUT option.

If you opt out, the account will remain unchanged and can be used (you will have access to your credit line) until the end of your membership year or the date on the card whichever is later. After that, the account is closed and you are simply paying on the remaining balance.

And yes, it does suck. Thanks Uncle Sam.

Actually that doesn't fully apply in many cases, including mine. I was currently under a special interest rate promotion (7.99%), which, according to the customer service rep, is being canceled by Citibank. My new interest rate will now be a variable rate, currently at 14.99% for the next billing period.

I didn't actually cancel my account, but did select to opt-out. After some thought, I think I may change my mind and just keep the card. My reasoning is this:

I believe Citibank actually actually prefers customers to fit into one of the following categories:

1. Stay in the program and pay the higher rates + charges.
2. Opt out, which will eventually phase out many accounts, lowering their overall credit needs shown on their balance sheet.

I plan on keeping the card, paying off the balance and then just never use it. That way, my personal credit rating will stay unaffected. I also screw Citibank in two ways:

1. They will have to account for my open credit line on their books - but will reap no benefits from it.
2. I will be transferring my actual cc business to their competitors (AmEx, Chase, etc.)

I'm trying my best to make sure Citi never sleeps ... :grinFU:

 

[Starz26]

Nice, plan, but then they will just close your account for you.

I had a Geico card that I used to pay my Geico insurance once a year. It was just canceled due to inactivity in the last 12 months....Funny thing is, the last charge was 10 months ago.

End result, consumer will not get the good end of the deal.