Consumer complaint received 2025-11-14 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Fees or interest — Problem with fees
Company: CITIBANK, N.A.
State: CA

Complaint narrative:
Dear CFPB : I am filing a complaint against both XXXX and XXXX XXXX for improper payment posting, failure to notify me of late fees & XXXX, and deceptive billing practices. 

I used XXXX XXXX XXXX XXXX to make my XXXX ( Citibank ) 24 month interest free promotional financing payments every month. Each month I scheduled my payment for the XXXX. XXXX XXXX removed the funds from my checking account on the XXXX, indicating the money was sent. 

I found out yesterday that XXXX did not credit or post the payments until the XXXX or XXXX of each month and as late as the XXXX, despite a due date of the XXXX. This caused XXXX to charge me late fees of up to {$42.00} per month, including interest charges on these late fees totaling {$160.00} so far. I was never informed that 100 % of my payments were posted late until yesterday ( 5 months after making monthly payments ) when XXXX XXXX informed me that my XXXX {$200.00} payment was returned to me without explanation. It was only after I was able to get a human on the phone at XXXX that I was informed of all the late fees and that all my payments were posted late. 

Also, I never received any subsequent paper statements mailed to me after the very first one on XX/XX/year>. If I had received them I would have found out that the payments were being processed past the due date and adjusted my bill pay date accordingly to avoid further late fees and interest charges. 

When I asked why they hadnt sent mailed statements, I was informed that I had opted in for paperless billings which is patently false. I asked Citi for an E-SIGN consent XXXX XXXX proving I opted out and I was told they sent me an email - which I did not receive. I believe CitiPay must have pre-checked the box indicating I was opting into paperless billing, which does not indicate I consented to or authorized it. Regardless, it is more than coincidental that for 6 payment cycles I had no idea that every payment was late nor did I have any reason to go online to check the status of my account unless there was an issue. 

Next, XXXX stated that because the payments posted only 23 days after the due date, they were not required to notify me by phone, email, or text since their threshold to inform customers was 5+ days late. Again, it is difficult to believe that XXXX XXXX of my payments in a 24 month interest fee promotion would arrive and be posted XXXX days after payment was sent but not posted late enough for them to have informed me that I was incurrent monthly late fees and interest. 

Bottom line : I did not enroll in electronic statements, so their claim that it was my responsibility to check my statements online is not legally valid. They were required to send paper statements showing late fees, and they did not. 

Under Regulation Z, a lender must credit a payment as of the date it is received. I believe XXXX either : 1. Received the payments earlier and delayed posting them, or 2. Intentionally uses slow posting practices for mailed or bill-pay checks, which disproportionately results in late fees. 

My account was debited on the XXXX, but XXXX claims they did not receive funds until around the XXXX to the XXXX. I dispute that this is acceptable or compliant with XXXX or common banking standards. 

These delays appear intentional and benefit both banks financially ( a XXXX day float for XXXX XXXX and late fees plus interest on late fees for XXXX ). 

XXXX has credited two late fees of {$42.00} - {$84.00} total but not the entire XXXX. I am requesting : Full refund of all remaining late fees and interest charged Correction of any internal late-payment record Written confirmation of corrected status Delivery date documentation for each payment Review for potential unfair, deceptive, or abusive acts/practices ( UDAAP ) I hope that you can assist me in this endeavor. This is the first time in my entire payment history that " so many coincidences '' ( yes sarcasm ) have occurred to the benefit of the bank. I pride myself on having a pristine credit record and, frankly, this is an ethical issue for me so this is why I am reported them to you to rectify what appears to be predatory practices. Thank you for your assistance. 

Regards, XXXX XXXX

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