Consumer complaint received 2025-12-16 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Problem when making payments — Problem during payment process
Company: CITIBANK, N.A.
State: VA

Complaint narrative:
Re : Complaint Against Citibank , N.A . : Unauthorized Payment Attempts, Improper Fees, and Poor Customer Service Dear CFPB, I am writing to file a formal complaint against Citibank , N.A . ( Citi ) regarding their mishandling of a failed payment on my credit card account, resulting in unauthorized reattempts, improper fees, and significant frustration due to inconsistent and inadequate customer service. This has caused me financial harm through bank NSF fees ( which my bank has reimbursed ) and has prevented me from making a correct payment despite having the funds available. I believe Citis practices violate fair banking regulations, including potential issues under the Electronic Fund Transfer Act ( EFTA ) for unauthorized ACH transactions and the Truth in Lending Act ( TILA ) for billing errors and fee assessments. Below, I outline the details of the incident, timeline, and my requested resolution. 

Description of the Issue : On XX/XX/year>, I attempted to make a one-time payment of approximately {$4900.00} to pay off the balance on my Citi credit card. Due to an error on my part during a rushed process, the payment was linked to my old checking account, which was still listed in my Citi profile but no longer active for sufficient funds. The payment failed due to insufficient funds ( NSF ), and Citi charged me a {$30.00} returned check fee effective XX/XX/year>. 

Subsequently, Citi made two additional unauthorized attempts to withdraw the funds from the same old account : one on XX/XX/year>, and a third pending attempt on XX/XX/year>. These reattempts were not authorized by me, and I was not notified in advance. Each failure triggered XXXX  fees from my bank, which reimbursed them, but the process has been stressful and time-consuming. 

Citis system continues to show my balance as zero or near-zero ( with only minor interest and fees accruing ), preventing me from making a new payment from my correct account. When I attempt to pay, the system rejects it as in excess of the current balance. 

On XX/XX/year> a call to Citis customer service was extremely unhelpful and counter-productive. Representatives, primarily based overseas and speaking in broken English, provided conflicting information : One rep stated that once a returned check fee is charged, no reattempts would be made, a claim I verified as false.

Another claimed Citi always attempts up to three times.

A third said reattempts only occur for autopay accounts, which mine is not. 
Reps also claimed that after the billing cycle closed ( which occurred on XX/XX/year> ), no further attempts would be madeyet the third attempt appeared on XX/XX/year>. 

I requested escalation to a supervisor, but was initially refused. When finally connected, the supervisor was unhelpful, responding to questions with generic affirmations like excellent or that is great, without addressing my concerns. This poor communication and refusal to resolve the issue promptly have exacerbated the problem. 

Timeline of Events : XX/XX/year> : Submitted payment of XXXX {$4900.00} from old checking account ; payment failed ; charged {$30.00} returned check fee by Citi. 
XX/XX/year> : Unauthorized second attempt made ; failed, triggering XXXX  fee from my bank ( reimbursed ). 
XX/XX/year> : Unauthorized third attempt pending ; failed or expected to fail, with ongoing system issues preventing new payment. 
Ongoing : one initial call to Citi customer service on XX/XX/year>, resulting in conflicting advice and no resolution. Billing cycle closed, but attempts continued contrary to rep statements. 

Impact on Me : This has caused unnecessary financial stress, wasted time ( over two weeks of calls and monitoring ), and potential credit impact from delayed payments and accruing interest/fees. Despite having the funds ready in my new account, Citis system errors and reattempt policy have locked me out of resolving the balance.

Requested Resolution : I request that the CFPB investigate Citis practices and require them to : XXXX. Immediately stop all further payment attempts from the old account and confirm the payment as fully failed and closed. 

XXXX. Waive the {$30.00} returned check fee and any associated interest or late fees resulting from this delay. 

XXXX. Manually update my account balance to reflect the original owed amount, allowing me to make the correct payment from my new account. 

XXXX. Remove the old checking account from my profile and provide written confirmation of all actions taken. 

XXXX. Compensate me for any unreimbursed costs or inconvenience ( such as a goodwill credit of {$100.00} ). 

XXXX. Improve their customer service training and policies to prevent conflicting information and ensure U.S.-based escalation options for complex issues. 
I will provide upon request, copies of my Citi statements, bank NSF fee notifications, and notes from my calls with Citi representatives. 

Please contact me at the provided contact information for any additional questions. I appreciate the CFPBs assistance in resolving this matter promptly.

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