Consumer complaint received 2025-10-20 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Trouble using your card — Can't use card to make purchases
Company: CITIBANK, N.A.
State: IL

Complaint narrative:
Complaint Regarding : Citi XXXX XXXX Credit Card Regarding Account : XXXX To the Consumer Financial Protection Bureau, I am filing a formal complaint regarding serious and systematic issues I have experienced with the Citi XXXX XXXX credit card ( issued by Citibank ). My experience involves deceptive marketing, unfair account restrictions, and failure to provide services after collecting a substantial fee, which I believe constitutes an unfair and abusive practice. 

1. Deceptive Marketing and " Bait-and-Switch '' Tactics : I applied for the Citi XXXX XXXX card on XX/XX/year>, motivated by a marketed offer to receive XXXX bonus points after spending {$6000.00} within the first three months. However, immediately after approval, Citibank placed a restriction on my account, preventing any use of the credit line. By rendering the card unusable immediately after approval, Citibank has effectively made it impossible for me to meet the spending requirement to earn the welcome bonus. This practice makes the advertised offer a deceptive lure, as the bank controls and has denied my ability to participate.

2. Imposition of Fees on a Restricted and Unusable Product : Despite the account being restricted from the day after approval and me never receiving or activating a physical card, Citibank charged me the full {$590.00} annual fee. I am now being required to make minimum payments on an account that is frozen and that I can not use. Charging a premium fee for a product that is
intentionally rendered unusable by the issuer is fundamentally unfair and exploitative.

3. Opaque and Unjustified Verification Process : Citibank requested I submit a Form 4506-C ( Request for Transcript of Tax Return ) to verify my identity and lift the restriction. I complied promptly and sent the form via USPS with tracking, which confirmed delivery. Citibank initially claimed they did not receive it, forcing me to send it a second time. After the second submission, they acknowledged receipt of the first form but have done nothing, only advising me to have " passion '' and wait indefinitely. The account remains restricted with no resolution in sight, now well into the second month. 

4. Evidence of a Systemic Problem, Not an Isolated Error : My case is not an isolated incident. There is public documentation of a widespread failure in the launch of the Citi XXXX XXXX card, where numerous customers were locked out of their accounts due to the bank 's mishandling of 4506-C forms. This issue was severe enough to be covered by major news outlets and prompted Citibank to take significant corrective action for other affected customers, including refunding the {$590.00} annual fee and granting the XXXX bonus without requiring the minimum spend. An article titled " They Signed Up for Citis New XXXX  Card. It Turned Into a Nightmare '' in XXXX  XXXX XXXX XXXX specifically detailed this very nightmare scenario. The fact that Citi has acknowledged this failure for a group of customers yet is allowing it to persist for others is unacceptable.

5. Concerns of Discriminatory Treatment : Furthermore, in researching this issue, I have found that a significant number of affected customers voicing similar complaints online do not have XXXXXXXX XXXX names. 

This pattern raises serious concerns, especially in light of the recent CFPB action against Citibank for intentional, illegal discrimination against applicants of XXXX XXXX descent, where the bank specifically targeted applicants based on their XXXX. While I can not prove the bank 's intent, the pattern is alarming and contributes to a feeling of being unfairly targeted. 

My Desired Resolution : Given that Citibank has already set a precedent for resolving this exact issue, I expect the following : Immediate and full refund of the {$590.00} annual fee.

Waiver of all minimum payments due during the restriction period.

Immediate granting of the XXXX bonus ThankYou Points, without being required to meet the spending requirement, as my ability to do so was nullified by Citibank 's actions.

Immediate lifting of the restriction on my account and issuance of a functional credit card, or, alternatively, closure of the account with all fees refunded and the credit reporting bureaus notified to remove this account from my credit history.

I have attached proof of the USPS tracking delivery and records of my communications with Citibank. I trust the CFPB will investigate this matter and hold Citibank accountable for these deceptive and unfair practices.

Sincerely, XXXX XXXX XXXX XXXX XXXX XXXX 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 explanation