Consumer complaint received 2020-10-12
Company: CITIBANK, N.A.
State: TX
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Problem with a purchase shown on your statement
Sub-issue: Credit card company isn't resolving a dispute about a purchase on your statement

Complaint:
1026.13 or the Fair Credit Billing Act ( FCBA ) was adopted in 1974 to protect consumers from unfair or prejudicial billing practices. This federal law allows credit cardholders a method to dispute incorrect credit card billings. If one follows the correct procedure, the cardholder can dispute the charges and temporarily withhold payments on the disputed amount without affecting ones credit score. Per FCBA, I initiated and notified Citi of multiple billing errors in XXXX. 
The FCBA also states Citi must acknowledge my complaints, in writing, within 30 days after receiving it. The dispute must be resolved within two billing cycles. If a billing error occurred as notified, Citi is required to explain in writing the corrections that will be made. In addition to crediting my account, Citi must remove all finance charges, late fees, or other charges related to the error. If Citis investigation determines the bill is correct, I must be told promptly notified how much I owe, why, and provide the relevant investigation documents. Unfortunately, Citi has failed to investigate or notify me as required by FCBA regulations. I am currently signed up for paperless documents through Citi online, where all my statements, notices, and documents are sent. I have made multiple calls to Citi, notifying them I am not receiving any documents as required.

Citi has failed to investigate or provide any permanent credits, results of the billing disputes, notices, or investigation materials despite my repeated requests. Citi has also rebilled me for multiple disputed transactions still under investigation, without providing any of the required notices, according to the Citi online dispute center. By violating provisions of the FCBA, Citi may not collect the amount in dispute or any charges related to it. 
The majority of transactions I have disputed in XXXX were on my Citi DiamondPrefered MasterCard ending in XXXX. The MasterCard Dual Message System Chargebacks Cardholder Dispute Guidelines published XX/XX/XXXX outline the process and procedures for filing and processing a consumer chargeback. According to the guidelines when the cardholder contacts the issuer claiming Goods or Services Were Either Not as Described or Defective the following must be true : The cardholder engaged in the transaction The merchant refused to adjust the price, repair or replace the goods or other things of value, or issue a credit For disputes involving goods : The cardholder returned the goods or informed the merchant the goods were available for pickup One of the following conditions must also be true : When delivered from the merchant, the goods arrived broken or could not be used for the intended purpose.

Goods and services did not conform to their description. Examples include, but are not limited to : o The cardholder claims that the quality or workmanship of the product is not as described. 
o The cardholder claims that the specified color, size, or quantity is not as described.

The merchant did not honor the terms and conditions of the contract with the cardholder including, but not limited to, 100 percent money back guarantee, written promises, or return policy.

The allowed timeframe for this type of dispute is one of the following : 120 calendar days from when the services ceased with a maximum of 540 calendar days from the transaction settlement date for issues of interruption of ongoing services Between 15 and 120 calendar days from the transaction settlement date Between 15 and 120 calendar days from the delivery/cancellation date of the goods or services.

I have spent over 100 hours on the phone with the Citi dispute resolution department and fully notified them of their failure to follow these guidelines or FCBA regulations. I have had little luck, even when speaking with billing dispute managers. I am simply told, they will send a referral for their back office to look at the transaction once again and to check back in a week. This has been the same process going on for the better part of XXXX. 
In Summary of Applicable Standards for UDAAPs Unfair Acts or Practices, the Dodd-Frank Act prohibits conduct that constitutes an unfair act or practice. An act or practice is unfair when : It causes or is likely to cause substantial injury to consumers ; The injury is not reasonably avoidable by consumers ; The injury is not outweighed by countervailing benefits to consumers or the competition.

The FCRA, by contrast, defines adverse action more broadly to include section 701 ( d ) ( 6 ) of ECOA. Denial or cancellation of, an increase in any charge for, or a reduction or other adverse or unfavorable change in the terms of coverage or amount of, any insurance, existing or applied for, in connection with the underwriting of insurance ; A denial or cancellation of, an increase in any charge for, or any adverse or unfavorable change in the terms of a government license or benefit ; or in connection with account review that is adverse to the consumers interests. 
Statements made routinely by Citi billing disputes representatives consistently directly oppose the statutes and regulations mentioned above. Citi billing dispute agents, routinely outline processes and legal requirements when processing billing disputes in error. Statements are made to point blame at the customer, and illegally remove liability and requirements from Citi. Even after informing these agents of the legal requirements and processes set forth by MasterCard, they maintain their erroneous claims.

Citis failure to comply with violations FCBA, UDAAP, the MasterCard Dispute Guidelines, and the cardmember agreement, amounts to a total of {$4400.00} in improperly investigated and unresolved billing errors in XXXX alone charged to my account. 
This letter should represent a clear and formal notification of Citi. To assist and allow you to fully investigate these violations Ive attached the following : Screenshots of my Citi E-Communications, Notices, and Documents proving I have not received the required notifications per FCBA. 
A list and accounting of these billing errors showing the credits issued, rebilled, and unprocessed. 
Examples of assertions along with supporting documents previously provided to Citi to aid in their investigations. 
I appreciate your prompt attention to this matter and expect Citi to comply with its legal obligations and requirements. My account should be immediately credited for the billing errors as Citi has no legal right or basis to collect on the billing errors previously notified due to the violations made. Should Citi refuse to promptly reply Federal statutes and provisions allow for me to file suit to recover for damages suffered, associated costs, interest legal fees, and more. I pray it will not be necessary for me to seek out these alternate solutions.

Regards, XXXX XXXX

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