Consumer complaint received 2020-03-03
Company: CITIBANK, N.A.
State: DE
Product: Credit card or prepaid card
Sub-product: Store credit card
Issue: Getting a credit card
Sub-issue: Application denied

Complaint:
For over 20 years I have had a Best Buy store card to make big purchases. On Saturday, XX/XX/XXXX, my wife and I decided to buy new kitchen appliances and we thought we would put the purchase on my Best Buy credit card given they were offering 18 months of financing. Why use our cash flow when we can take advantage of such a great promotion. The sales rep helped us pick out new appliances totaling over {$4000.00}. When I attempted to use my Best Buy credit card I was told I would have to reactivate my card given it had been awhile since I used it. So I entered my application information and was declined for a Best Buy credit card. I was however, approved for a Citibank Gold Visa for a {$59.00} fee! I had no idea at the time I applied I was actually being evaluated for 3 different types of credit cards offered through Citibank. There was no full disclosure on the screen and I was not allowed to only apply for the Best Buy credit card which was the only card I was interested in having. When I asked why I didn't qualify for a Best Buy credit card Citibank wouldn't tell me why until I received the letter. My wife works for XXXX and of course went nuts when she heard this because we always pride ourselves on have low debt and good credit. Needless to say we almost walked away from the sale and I was horrified to be denied the Best Buy credit card that I've held for so many years. We decided to put the purchase on our XXXX card instead and decided this will be the last purchase we make at Best Buy due to the relationship they hold with Citibank. 

After the purchase I went home and called Citibank back and spoke with a manager with the help of my wife. The manager confirmed that a model decisioned my application and that I was declined due to insufficient credit experience. I asked what credit report was pulled and was told it was Experian so I immediately went online and pulled my credit report. The ironic thing is I have less than 5 % debt, my FICO score is above 800, I have 9 open accounts including an {$18000.00} VISA through XXXX  XXXX XXXX, as well as several other store credit cards similar to Best Buy where you can only make purchases at the store. I have a total of XXXX in available credit to use!!!! On top of that, I had 33 credit card offers available for me to explore including 2 from Citibank! I have no mortgage because it's in my wife 's name ( she owned the house before we married ) and I paid off a card loan 3 years ago so I have no installment loans. I never thought that would make me eligible to be declined due to insufficient credit experience and neither did my wife. She feels I was declined because I would not be profitable for Citibank given my great credit history. I was only offered a {$59.00} annual fee Visa through Citibank which is insane and they are treating me like I have barely any credit which is not the case. When I reviewed my credit report I noticed that XXXX  XXXX previously held the Best Buy portfolio and I never had a problem getting approved for an account. Now that Citibank owns the portfolio, they are attempting to qualify customers for their VISA and are forcing good quality credit customers like myself to pay an annual fee given we are deemed not profitable. This practice is unfair and deceptive! I am attaching copies of the decline letter, as well as screen images from my XXXX credit report showing the information I've stated in this complaint. The CFPB need to review Citibank 's practices as they should not be forcing customers to pay for a credit card when they have excellent credit.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation