Consumer complaint received 2026-04-09 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Closing your account — Company closed your account
Company: CITIBANK, N.A.
State: CT

Complaint narrative:
XXXX XXXX CONSUMER FINANCIAL PROTECTION BUREAU ( CFPB ) COMPLAINT CITIBANK - IMPROPER ACCOUNT CLOSURE & PAYMENT PROCESSING FAILURES COMPLAINANT INFORMATION Name : XXXX XXXX Account Type : XXXX Citi Card Date of Complaint : XX/XX/year> COMPANY INFORMATION Company Name : Citibank ( XXXX XXXX XXXX ) Company Address : [ Citi Customer Service ] XXXX XXXX XXXX SUMMARY Citibank closed my credit card account without any prior notification, explanation, or opportunity to cure the issue. When I discovered the closure and called to resolve it, agents admitted they did not know why the account was closed and could not provide an explanation for 24-48 hours. Additionally, Citi agents claim to have processed two payments ( {$2100.00} on XX/XX/XXXX and {$530.00} on XX/XX/XXXX ), but my bank XXXX XXXX XXXX XXXX XXXX has XXXX record of either payment attempt. This represents either fraudulent misrepresentation of payment status or a non-functional payment processing system. These violations have damaged my credit and violated consumer protection laws. XXXX XXXX DETAILED COMPLAINT NARRATIVE XX/XX/year> - FIRST PAYMENT XXXX ( USER ERROR ) I initiated a {$1700.00} payment to Citi from a XXXX XXXX XXXX account with insufficient funds. The payment bounced due to lack of funds in that account. XXXX XXXX Critical Issue XXXX XXXX XXXX Citi sent me NO notification of this bounce. I received no email, no call, no warning. I was not given any opportunity to correct the error or make a different payment. I remained completely unaware of this problem until XX/XX/year> ( 18 days later ). This violates standard lending practices which require creditors to notify borrowers of payment issues and allow a cure period before taking action. XX/XX/year> - CORRECTIVE PAYMENT ATTEMPT ( PAYMENT PROCESSING FAILURE ) On XX/XX/year>, I discovered the XXXX bounce and immediately took corrective action. I initiated a {$2100.00} payment from my correct XXXX XXXX XXXXXXXX account ( ending in XXXX ), which has sufficient funds. XXXX XXXX What Citi Claims XXXX XXXX XXXX During my XX/XX/XXXX call, Citi agent XXXX XXXX stated : theres a payment here for {$210000.00} that was done on the XXXX of XXXX, which youre getting credit for right now He further stated : we normally, we are gon na try a total of 3 times to try to collect on that, on those funds, before we say, okay, were not gon na get that money This suggests Citi is processing the payment and crediting my account. XXXX XXXX Verification Problem XXXX XXXX XXXX XXXX XXXX XXXXXXXX has ZERO record of this payment attempt on XX/XX/year>. XXXX No posted transaction XXXX No pending transaction XXXX No record in my transaction history XXXX No debit from my account XXXX XXXX Conclusion : XXXX XXXX Either Citi never submitted this payment to my bank, or Citi is misrepresenting payment status to the customer. This is a serious processing failure or fraud. XX/XX/scrub>XXXX XXXX XXXX ACCOUNT CLOSURE DISCOVERED ( NO NOTICE ) On XX/XX/year>, I checked my XXXX Citi app and discovered my account was CLOSED. XXXX XXXX How I Found Out : XXXX XXXX I discovered this closure by accident while checking my app. I received NO notification from Citi prior to closure. No email, no phone call, no letter, no warning. This is a critical procedural failure. Standard lending practice requires : XXXX. Notice to customer that account is at risk of closure XXXX. Explanation of the reason XXXX. Opportunity for customer to cure the issue XXXX. THEN closure, if necessary Citi violated all of these standards. FIRST CALL TO CITI - XX/XX/year> ( AFTERNOON ) Agent Name : XXXX Call Duration : XXXX minutes XXXX XXXX I Asked XXXX XXXX XXXX Why was my account closed? I need an explanation. XXXX XXXX XXXXXXXX XXXX Admitted : XXXX XXXX I dont even have the reason why they close out the account. I do show that they count closed and they sent out an email on it. So unfortunately I cant. I cant tell you why exactly you closed out. Translation : The agent himself does not know why my account was closed, and no explanation is available to him. XXXX XXXX XXXX XXXXXXXX Admitted ( Process Issue ) : XXXX XXXX if they see that they need to close out the account, it is immediate, it, it is closed out right away. Um, and then they send out the email Translation : Citi closes accounts FIRST and notifies AFTER. This is backwards from standard practice and violates consumer protections. XXXX XXXX When Will I Get an ExplanationXXXX XXXX XXXX XXXXXXXX XXXX stated : the fulfillment usually takes about 24 to 48 hours for you to receive that email Translation : It takes 24-48 hours for the explanation letter to be sent. As of XX/XX/XXXX, I still had XXXX explanation for why my account was closed. XXXX XXXX Credit Impact Question XXXX Dodged : XXXX XXXX I asked : Well, this will affect my credit score, right? What are the consequences? XXXX XXXX responded : unfortunately were not credit experts on this one so I can not. I can not say how its gon na affect you XXXX : Citi closed my account but refuses to explain the credit impact. XXXX XXXX I Offered to Pay Immediately XXXX XXXX XXXX I asked : Can we pay the {$530.00} balance now then? XXXX XXXX agreed and I authorized a {$530.00} payment from my correct XXXX account ( ending in XXXX ) for that same day ( XX/XX/year> ). XXXX XXXX XXXX XXXXXXXX Confirmed XXXX XXXX XXXX you authorized city to withdraw a one time electronic payment of {$530.00} on XX/XX/year> from account ending in XXXX to change or to cancel your payment calls at this number or contract us online via live chat before midnight Eastern time today XXXX XXXX Verification Problem XXXX XXXX XXXX XXXX XXXX XXXXXXXX has XXXX record of this payment attempt on XX/XX/year>. XXXX No posted transaction XXXX No pending transaction XXXX No record in my transaction history XXXX No debit from my account Despite Citis confirmation that the payment was now being processed, my bank has XXXX evidence this payment was ever submitted. ESCALATION CALL - XX/XX/year> ( LATER ) Agent Name : XXXX XXXX ( Escalation Team ) Call Duration : XXXX minutes XXXX XXXX I Demanded Escalation XXXX XXXX XXXX Since the initial agent couldnt help, I asked to speak with escalation. XXXX XXXX Same Issue - No Explanation Available XXXX XXXX XXXX Escalation agent XXXX XXXX stated : I dont have a letter I can read unfortunately that hasnt updated on my end either yet. So hopefully by tomorrow morning, be able to have something here XXXX : Even after escalation, NOBODY at Citi can tell me why my account was closed. This is unacceptable. XXXX XXXX Same Process Admitted XXXX XXXX XXXX XXXX XXXX confirmed : So any of this time the decision happens, its immediate, if they, if they see that they need to close out the account, it is immediate, it, it is closed out right away. Um, and then they send out the email XXXX : The same backwards process is confirmed - close first, explain later. XXXX XXXX My Response to Escalation Agent : XXXX XXXX I stated clearly : I didnt even know that it was going to happen until I had to check the app and thats not the best way of customer transparency at all it doesnt make sense as to why I have to wait 20 to 48 hours when you can close my account whenever and just never tell me. Thats really bad customer service and really bad, bad way of treating your customers. XXXX XXXX XXXX XXXX XXXX XXXX XXXX No defense offered. Agent had no answer. XXXX XXXX I Announced CFPB Complaint XXXX XXXX XXXX I stated : Ill be sending a CFBP report and Ill be sending a report and Ill be sending up to the higher ups so we can we can get this resolved Agent acknowledged and offered no remedy. XXXX XXXX VIOLATIONS OF LAW & REGULATION XXXX XXXX XXXX IMPROPER ACCOUNT CLOSURE WITHOUT NOTICE XXXX XXXX XXXX Citi closed account immediately without prior notification XXXX No opportunity given to customer to cure the issue XXXX Violates Truth in Lending Act ( TILA ) and Regulation Z XXXX Violates Dodd-Frank Act consumer protection requirements XXXX XXXX XXXX FAILURE TO PROVIDE REASON FOR CLOSURE XXXX XXXX XXXX Citi agents admitted they dont know/cant provide reason for closure - Violates consumer disclosure requirements- Violates Fair Credit Reporting Act ( FCRA ) implications - Required by lending standards to explain closure reason XXXX XXXX XXXX MISREPRESENTATION OF PAYMENT STATUS XXXX XXXX XXXX Citi claims to have processed {$2100.00} ( XX/XX/XXXX ) and {$530.00} ( XX/XX/XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXXXXXX has XXXX record of either payment - Either Citi is lying about payment processing or system is broken- Violates Fair Debt Collection Practices Act ( FDCPA ) if false XXXX XXXX XXXX FAILURE TO DISCLOSE CREDIT IMPACT XXXX XXXX XXXX Agent explicitly refused to explain credit consequences of closure - Violates consumer protection disclosure requirements- Customer has no knowledge of credit damage from account closure XXXX XXXX XXXX INADEQUATE CUSTOMER SERVICE & ESCALATION XXXX XXXX XXXX Both agents ( initial and escalation ) unable to provide basic information - No resolution pathway offered - Process inadequate for consumer protection XXXX XXXX EVIDENCE SUPPORTING COMPLAINT ATTACHED EVIDENCE : XXXX XXXX XXXX CALL TRANSCRIPTS ( XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXXXX/XX/year> afternoon call with Agent XXXX - XX/XX/year> escalation call with Agent XXXX XXXX - Contains direct quotes showing agent admissions- File : CITIXXXXCALLXXXXTRANSCRIPTSXXXXCONSOLIDATEDXXXX XXXX XXXX XXXX XXXX XXXX XXXX TRANSACTION XXXXXXXX XXXX XXXX XXXX Showing XX/XX/year> : {$1700.00} attempted ( wrong account - bounced ) - Showing XX/XX/year> : NO RECORD of {$2100.00} claimed payment - Showing XX/XX/year> : NO RECORD of {$530.00} claimed payment - Showing sufficient funds available in account ending in XXXX XXXXXXXX XXXX XXXX CITI APP CLOSURE SCREENSHOT XXXX XXXX XXXX Showing account closed on XX/XX/year> - Showing notification history with no prior warning XXXX XXXX XXXX EMAIL HISTORY XXXX XXXX XXXX No closure warning email before XX/XX/XXXX - Last communication was XX/XX/XXXX about transaction problem XXXX XXXX IMPACT ON CONSUMER XXXX XXXX XXXX CREDIT SCORE DAMAGE XXXX XXXX XXXX Account closure will appear on credit report - Reduces credit score - Impacts ability to obtain loans, credit cards, apartment rental - Affects financial life for XXXX years - Citi refused to disclose the extent of this damage XXXX XXXX XXXX FINANCIAL UNCERTAINTY XXXX XXXX XXXX {$530.00} balance owed but status unclear - Payment status unknown ( claimed processed by Citi, not verified by bank ) - No clear pathway to resolve the debt - No explanation of late fees, penalty XXXX, or collection actions XXXX XXXX XXXX EMOTIONAL DISTRESS & INCONVENIENCE XXXX XXXX XXXX Account closed without notice - Discovery by accident while checking app - Multiple calls required to even understand basic information - No resolution offered by company - Forced to escalate to regulatory body XXXX XXXX XXXX INABILITY TO USE ACCOUNT XXXX XXXX XXXX Account used daily ( I use this car on a daily basis - card used frequently ) XXXX Sudden closure creates financial hardship - No advance notice to make alternative arrangements XXXX XXXX XXXX TIMING IMPACT XXXX XXXX XXXX Graduate school applications pending ( would consider credit history ) - Planning apartment move in XX/XX/year> ( would require credit check ) - Account closure creates risk of financial consequences during critical life events XXXX XXXX REQUESTED RESOLUTION I am requesting the following fair resolution : XXXX XXXX XXXX WRITTEN EXPLANATION XXXX XXXX XXXX Provide written explanation of the specific reason my account was closed - This should be provided immediately, not 24-48 hours later - Explanation must be detailed and clear XXXX XXXX XXXX CREDIT REPORT CORRECTION XXXX XXXX XXXX Ensure my account is reported to credit bureaus as Closed - Paid in Full or Settled- NOT as delinquent, charge-off, late payment, or negative status - Provide written confirmation of credit bureau reporting - Ensure no negative marks appear once I pay the balance XXXX XXXX XXXX NO ADDITIONAL CHARGES XXXX XXXX XXXX Confirm in writing that no late fees will be applied - Confirm no penalty XXXX has been applied - Confirm no collection actions will be taken - Balance owed is {$530.00} - no additional charges XXXXXXXX XXXX XXXX PAYMENT PROCESSING INVESTIGATION XXXX XXXX XXXX Investigate why XX/XX/XXXX payment ( {$2100.00} ) has no record at XXXX XXXX XXXX- Investigate why XX/XX/XXXX payment ( {$530.00} ) has no record at XXXX XXXX XXXX- Provide written confirmation of payment status from both Citi and XXXX XXXX If payments were never submitted, confirm immediately so customer can resolve XXXX. XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX to account as acknowledgment of : - Lack of prior notification before closure - Failure to provide immediate explanation - Procedural failures that violated lending standards - Inconvenience and distress caused XXXX XXXX XXXX WRITTEN SETTLEMENT CONFIRMATION XXXX XXXX XXXX Provide written settlement agreement confirming all above terms - Before any payment is made, I need written confirmation these terms are accepted XXXX XXXX TIMELINE SUMMARY XX/XX/XXXX : Payment bounced ( user error ) - NO NOTIFICATION from Citi XX/XX/XXXX : Corrective payment sent - Citi CLAIMS to process it, Bank has NO RECORD XX/XX/XXXX : Account closure discovered by customer checking app - NO PRIOR NOTICE XX/XX/XXXX : Customer calls Citi - XXXX admits no reason available XX/XX/XXXX : Customer authorized payment - Citi CLAIMS to process it, Bank has NO RECORD XX/XX/XXXX : Escalation call- Same agent admits no explanation available XX/XX/XXXX : Customer announces CFPB complaint - No response from Citi XXXX XXXX STATEMENT OF TRUTH I declare under penalty of perjury that the information provided in this complaint is true and accurate to the best of my knowledge. The call transcripts are directly from the conversations that occurred on XX/XX/year>, with Citibank customer service representatives. XXXX XXXX XXXX statements and transaction histories are accurate records from my account. All dates and amounts are factually correct. Respectfully submitted, XXXX XXXX XX/XX/scrub>XXXX XXXX XXXX XXXX XXXX SUPPORTING DOCUMENTS Please attach the following to your CFPB complaint : XXXX. CITIXXXXCALLXXXXTRANSCRIPTSXXXXCONSOLIDATED.txt XXXX. XXXX XXXX XXXX statement ( XX/XX/XXXX - XX/XX/year> ) - screenshot or PDF XXXX. Citi app closure screenshot ( showing closed on XX/XX/XXXX ) XXXX. Email history screenshot ( showing no closure warning ) XXXX. XXXX XXXX XXXX written confirmation of XXXX transactions ( from XXXX call ) XXXX XXXX END OF COMPLAINT REPORT

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