Consumer complaint received 2021-08-13
Company: CITIBANK, N.A.
State: MO
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Other features, terms, or problems
Sub-issue: Problem with balance transfer

Complaint:
I am writing today to file a formal consumer complaint against Citibank for engaging in unethical business practices. 

At present, I have two unresolved issues with my credit card and have contacted Citibank multiple times thus far in search of a solution, and one has not yet been provided. Please find details of these two complaints below : First, Citibank has failed to apply the correct promotion to a balance transfer and has instead applied a different promotion that benefits them while being detrimental to the consumer. On XX/XX/XXXX, I used one of the three checks provided to take advantage of Citis 0.99 % promotional APR on balance transfers until XX/XX/XXXX. The check I used was numbered XXXX and detached from checks numbered XXXX and XXXX ; these two checks remain attached to the promotion letter. ( Please refer to the enclosed copy of the promotional letter with the two secured checks and the stub of the used check. ) My XX/XX/XXXX credit card statement confirms the check number that cleared on XX/XX/XXXX. 

On XX/XX/XXXX, I called Citi because I received a letter in which the promotional balance transfer terms were incorrect ; instead of applying the aforementioned promotion, Citi used the 0 % promotional APR on balance transfers until XX/XX/XXXX. During this call, I spoke with a customer service representative, XXXX, who informed me that I could not change the promotion once the funds were transferred. I attempted to explain that I was not trying to do so and that it was merely the wrong promotion applied to the transfer in the first place, but he did not appear to comprehend this. I then spoke with a manager, XXXX, who merely repeated the same statement and disregarded my concern. I requested to speak with someone above her and was told only that she would message the account maintenance department on my behalf. I then received a letter from Citi dated XX/XX/XXXX, uttering the same unhelpful statement I had heard twice before : We are unable to change the Balance Transfer request once it has been received. ( See the enclosed letter. ) Second, Citibank has incorrectly allocated multiple payments in violation of their terms. To provide some background information, on XX/XX/XXXX, I completed a balance transfer to my Citi credit card to make use of the Citi Flex Loan ; this is a fixed-term loan from which I accessed funds using my Citi cards existing credit line. I have enclosed the first and current Citi statements, which provide the relevant details about the Citi Flex Plan in which I enrolled : the plan type is a loan ; the initial amount is {$4700.00} ; the term is 24 months ; the APR is 9.99 % ; the plan payment is {$210.00} ; and the remaining payments and balance are also shown. 

Before I initiated the XX/XX/XXXX Promotional APR balance transfer, I made sure to call Citibank customer service to confirm that the new balance transfer would not affect the CFL. I was advised at that time that the minimum payment is {$210.00}, and all additional funds received will be applied to a balance transfer. I also visited their website to confirm this fact. However, when I made payments of {$210.00} toward the Flex loan balance on XX/XX/XXXX, and {$120.00} toward the APR Promotion on XX/XX/XXXX, only {$32.00} of the {$120.00} was applied towards the APR Promotion. However, the minimum payment for the CFL had already been applied at this point. This is concerning because Citibanks terms provided directly on their website indicate that If you have a balance with a promotional APR that is lower than their Citi Flex Plan APR, such as a balance transfer, you can not pay off that other balance unless you first pay the Citi Flex Plan balance in full. To clarify, I was not making a balance payoff on the Promotional APR, and the CFL is a fixed-term loan, so the entire {$120.00} should have been applied as a payment toward the Promotional APR balance. The CFL fixed minimum payment had been posted on XX/XX/XXXX, in the full required amount of {$210.00}. Therefore, the payment I made for {$120.00} on XX/XX/XXXX should have been applied towards the Promotional APR balance. Adding the additional payments to the CFL amount for XXXX and XXXX will cause the loan to be paid off early. This is detrimental to me because the Promotional APR balance now has a shortage that will prohibit the balance from being paid in full by XX/XX/XXXX. 

Notably, the Citibank statement clearly shows the Citi Flex Plan details but does not provide the details of the Promotional APR plan. I have no indication of the current balance or applied payments. ( See the enclosed 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 non-monetary relief