Consumer complaint received 2022-05-03
Company: CITIBANK, N.A.
State: KY
Product: Credit card or prepaid card
Sub-product: General-purpose credit card or charge card
Issue: Fees or interest
Sub-issue: Charged too much interest

Complaint:
I had XXXX balance transfers on my Citi credit card. One was at 3.99 % for the life of the loan, and one was 0.99 % until XXXX XXXX, after which it turned to a 19.49 % interest rate. Soon after XXXX XXXX, I sent money to pay off almost all the previous 0.99 % interest rate loan, now 19.49 % interest rate. Citi used the money to pay of the 3.99 % interest rate ( for the life of the loan ), and paid the extra toward the 19.49 % interest rate ( and, starting the XXXX statement, the interest rate moved to 19.74 % ). I called XXXX  times about this. XXXX times they told me it would be corrected, but I then receive a note saying that the payments were applied correctly, although in the note they stated " Please note that payment amount greater than the minimum due are applied to balances with higher APRs before balances with lower APRs. '' This is, of course, exactly what they did NOT do. I called, and they told me that they would not be correcting the situation. As far as I know, they are legally required to pay off the higher interest rate loan with anything over the minimum payment, but they did not. The fact that they lied to me on XXXX different occasions saying that they would correct the problem, but not doing so, and then denying that they were acting inappropriately, is appalling. They need to correct the problem, and refund the overpayments they've taken using the inaccurate interest rate. 
When I call, the person always states that the 3.99 % interest rate loan ended in XXXX XXXX, but it was for the life of the loan ; it " ended '' in XXXX XXXX because Citi paid it off. Looking at the information abou the loan, it says " Balance Transfer Rate Until Paid in Full. '' But this loan should NOT have been paid in full, and it was only because Citi inappropriately paid it that it ended in XXXX XXXX. 
I've attached screenshots of my XXXX, XXXX and XXXX statements from Citi. 
In XXXX 's statement ( issued on XXXX XXXX ), I was charged at the 3.99 % for {$4000.00}, and at the 0.99 % rate for {$7500.00}. That was fine. 
The 0.99 % interest rate ENDED on XXXX XXXX, clearly stated on my bill, and converted to 19.49 % ( as will be seen on my XXXX statement ). 
On XXXX XXXX, AFTER the 0.99 % interest rate converted to 19.49 %, I paid {$7500.00} and on XXXX XXXX, I paid {$50.00}. This should have paid off almost all of the now 19.49 % loan. However : In XXXX 's statement ( issued on XXXX XXXX ), the 3.99 % interest rate was applied to {$730.00}, and the 19.49 % rate was applied to {$4600.00}, indicating that Citi used the money I paid toward the LOWER interest rate loan. 
In XXXX 's statement ( issued on XXXX XXXX ), the 3.99 % interest rate loan was at {$0.00}, and {$4000.00} was now being charged at a 19.74 % interest rate. Since then, nothing has changed.

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