Consumer complaint received 2018-07-12
Company: CITIBANK, N.A.
State: MD
Product: Credit card or prepaid card
Sub-product: Store credit card
Issue: Problem when making payments
Sub-issue: Problem during payment process

Complaint:
After opening an account with a financial institution on XX/XX/2018 I started switching over my payment methods with merchants I have bills with, including XXXX. I received an online confirmation on the same day confirming that my automatic payment method was updated ( I have enclosed screen shots for your record ) On XX/XX/2018 I submitted a request to my financial institution XXXX XXXX requesting to close out my checking account. On XX/XX/2018 I received a message advising that I should cancel all my automatic payments and that my debit card would be closed out. I completed their request and based on the message I received assumed that my checking account would be closed. On XX/XX/2018 a payment from XXXX was sent to what I believed was a closed account instead of my new account causing an overdraft fee as well as. I currently have a Savings account and CD with XXXX XXXX because my CD has not expired and XXXX requires to have a deposit account opened to maintain the CD. XXXX took the {$0.00} and transferred it to the checking account causing fees to be assessed ( {$35.00} x2, overdraft fee of {$5.00} in the checking, and {$8.00} x2 for the overdraft transfer fee for the savings ). Both the savings and checking accounts are currently negative due to a non-authorized transaction to an account that I requested closed. When I reached out to both XXXX and XXXX each institution is claiming that there was no error and to reach out to the other party regarding the fees ( Screenshot of messages are attached ). 

I went back to the XXXX website to see why the payment had not been processed to the new account as requested in XXXX and I showed that they still had the old closed account under the automatic payments. I redid the request to update the automatic payments on XX/XX/2018 and checked the payment methods that I had listed and I only have two financial institutions listed, none belonging to the XXXX XXXX XXXX in which the payment was attempted to be collected ( I have also provided a screenshot ) At this time, I am still claiming that there was a technological error on the part of XXXX and XXXX because I clearly revoked authorization with XXXX and I submitted an account closure request to XXXX. It wasnt until after I requested to dispute the fees with the ACH department with my financial institution that I was told that the account was never closed. In addition, I sent messages to XXXX about redirecting the payment to another account and the presented the transaction twice ( the second re-try payment was sent on XXXX.XXXX.2018 ) to what I believed was a closed account and in trying to put funds in the savings account with XXXX they took the funds and transferred it again assessing another fee to the account. 

I would also like to express that it is terrible how this situation was handled. I have attached the correspondences involved in this entire ordeal. I did my due diligence in communicating my intent on the status of my accounts with XXXX XXXX and ensuring that my payment with XXXX would be covered and due to a technological error the bank and XXXX want to make me responsible for fees on a situation that was beyond my control. I am reaching out to the OCC as I believe that there are policies that werent appropriately following in this situation.

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