Consumer complaint received 2024-05-07
Product: Credit card — General-purpose credit card or charge card
Issue: Other features, terms, or problems — Other problem
Company: CITIBANK, N.A. (AL)

Dear Citi Bank Customer Service, I am writing to express my serious concerns and to file a formal complaint regarding the recent and abrupt decrease in my credit card spending limits, which has resulted in an over-limit balance that I am now being asked to pay. My name is XXXX XXXX XXXX, and I am the holder of two credit card accounts with your institution, numbered [ Credit Card Number 1 ending in- XXXX ] and [ Credit Card Number 2 ending in- XXXX ]. 

In early XX/XX/XXXX, I made substantial payments to both accountsone payment of {$5000.00} ( XXXX ) and another of {$3500.00} ( XXXX ) demonstrating my financial responsibility and commitment to maintaining a healthy credit standing. Despite these significant payments, I was shocked to discover that the spending limits on both cards were reduced without any prior notification, effectively absorbing the large payments I had made and leaving me with an over-limit balance. I am also expected this month to make a {$4300.00} monthly XXXX payment to account ending in XXXX for the over-limit balance. 

I have consistently demonstrated my reliability as a customer, having never been late with a payment for either card. It is my belief that this reduction in my credit limits may have been unjustly influenced by a dispute filed with XXXX XXXX XXXX, which should not have any bearing on my standing with Citi Bank. XXXX XXXX XXXX  submitted my personal financial information that violated consumer protection laws. 

Moreover, I have made several attempts to contact your customer service department to obtain clarity and information regarding this matter, but my requests have gone unanswered. This lack of communication is not only frustrating but also unprofessional, and it does not align with the level of service I expect from a reputable financial institution. 

I would like to bring to your attention that, according to the Consumer Financial Protection Bureau, credit card issuers are required to provide a 45-day notice before charging over-limit fees or applying penalty rates due to a decrease in the credit limit. Additionally, the Equal Credit Opportunity Act mandates that credit decisions should not be influenced by discriminatory factors. 

Given these points, I request an immediate and thorough investigation into the reduction of my credit limits and the subsequent over-limit balance. I also demand that my credit limits be reinstated to their previous amounts and that any over-limit fees incurred due to this reduction be waived. 

In addition, I will also be submitting my complaint to FDIC Response Unit, Consumer Financial Protection Bureau and Federal Trade Act ( Equal Credit Opportunity Act ). I trust that Citi Bank will address this issue promptly and fairly. 

I expect a prompt response to this letter, including a detailed explanation for the decrease in my credit limits, the steps taken to ensure compliance with federal regulations, and the actions you will take to rectify this situation. 

Thank you for your attention to this urgent matter. I trust that Citi Bank will take the necessary steps to resolve this issue in a fair and timely manner. 

Sincerely, XXXX XXXX XXXX