Consumer complaint received 2020-09-03
Company: CITIBANK, N.A.
State: CA
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:
My complaint involves the purchase of a ticket for {$980.00} from XXXX XXXX on XXXX XXXX, XXXX  using my Citibank Mastercard. As set out below, I have made a good faith attempt to resolve the matter both with XXXX and later with Citibank before filing this complaint. Specifically as to Citibank, it has not done a valid investigation of my dispute, now closed in favor of XXXX, and has reversed my {$980.00} credit. Based on the information provided below, Citibank should permanently credit my account in the amount of {$980.00}. 

The itinerary of the flight ticket purchased was XXXX XXXX to XXXX XXXX and back. XXXX ( not me ) cancelled my flight on XXXX. XXXX after XXXX XXXX on XXXX. XXXX banned the entry of all foreign nationals for 21 days due to the Covid-19 outbreak. On XXXX. XXXX, the very day of the scheduled flight, I submitted an online refund request to XXXX and received written confirmation. But XXXX hadnt sent me the refund by the time payment for the ticket purchase was due on XX/XX/XXXX so I filed for a dispute with Citibank. Citibank opened the dispute and credited the {$980.00} to my account while the dispute was pending. 

XXXX has from the moment I submitted my refund request sent me offers of a travel voucher. They acknowledge my refund request but have completely ignored it. I dont want a voucher ; I demand a full refund. On XX/XX/XXXX, I sent a letter to XXXX again requesting the refund and referencing the U.S. Dept. of Transportation ( DOT ) requirement that airline carriers provide a prompt refund to passengers when the carrier cancels the flight and the passenger chooses not to accept alternatives to the refund, such as a travel voucher. XXXX never replied to my letter. 

With XXXX failure to respond my refund request, I have as an alternative sought a credit of {$980.00} from Citibank. I have sent 3 letters ( XX/XX/XXXX, XX/XX/XXXX, and XX/XX/XXXX ) to Citibank demanding this credit and have had several phone conversations with Citibank employees, who misleadingly implied that my refund or credit was imminent. Both my XX/XX/XXXX and XX/XX/XXXX letters to Citibank cited 15 U.S.C. Section 1666i, which imposes vicarious liability on a credit card issuer if a cardholder like myself has made a good faith attempt to obtain a satisfactory resolution of a transaction, the amount exceeds {$50.00} and it took place in the same state as the cardholders mailing address. All of these conditions apply here : I sent both an initial and follow up request for the full cash refund to XXXX citing the applicability of the DOT requirements, that XXXX cancelled the flight and that I requested a full cash refund ; the purchase exceeded {$50.00} ; and the ticket was purchased from my home in XXXX, CA. 

Citibank did not conduct a valid investigation. In its investigation it incorrectly relied on Article 12.3 in XXXX terms and conditions : The Carrier shall have no liability if the flight cancellation, diversion or delay was due to Unforeseen Circumstances. In its XX/XX/XXXX letter to me Citibank says you did not provide a valid proof that you cancel in accordance with the merchant terms and conditions But the DOT requirement above clearly overrides XXXX terms and conditions. 

Although I was explicit in my XX/XX/XXXX and XX/XX/XXXX letters that after my good faith but unsuccessful attempt for the refund due me from XXXX, Citibank is liable for the {$980.00} purchase under 15 U.S.C. Section 1666i, Citibank never addressed this. In its XX/XX/XXXX letter, Citibank says that the merchant is not willing to issue credit to your account and it has no additional recourse. XXXX XXXX XXXX letter says that once the charge is approved, the merchants terms and conditions are imposed and must be followed. As mentioned, Article 12.3 violates the DOT requirements. Had Citibank conducted a proper investigation, it would have recognized this and imposed a chargeback of {$980.00} on XXXX. 

Please require that Citibank permanently credit my account in the amount of {$980.00}. Thank you.

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 monetary relief