Consumer complaint received 2024-02-09 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Fees or interest — Unexpected increase in interest rate
Company: CITIBANK, N.A.
State: IL

Complaint narrative:
In XX/XX/XXXX, I received a text notice that my bill with Citi was late. I immediately called Citi and informed them I could not be late because I had not yet received my monthly bill. After several discussions, the Citi person confirmed and informed me not to worry. The Citi person informed me they would take care of it, that any late fees assessed would be waived, and I paid that very day. What I pay each month far exceeds what they indicate my minimum payment should be. The interest rate on my Citi card was 23.99 %. 

In XXXX, I used the Citi card for just under {$1000.00} of charges. When I received the XXXX Citi bill, I almost had a XXXX XXXX when I saw that the XX/XX/XXXX charges were assessed interest at the rate of 29.99 %. At no time from the XX/XX/XXXX call up until the time I charged the {$980.00} in XX/XX/XXXX did Citi send me any notification that they had increased the interest rate to 29.99 %, and that was not known to me at the time the charges were incurred in XX/XX/XXXX. 

On XX/XX/XXXX, I called Citi. I explained the situation. The first person I spoke with was XXXX. XXXX stated he was able to confirm the XX/XX/XXXX conversations, he confirmed Citi had waived any late fees, but he said he had no way to adjust the rate of interest back down. He said he would if he could but that it happens with the computer, and he has no way to fix it. I asked to speak with his supervisor. 

XXXX connected me to XXXX, his supervisor. XXXX told me the exact same thing. XXXX said Citi had no way to undo the interest rate increase to 29.99 % because that is controlled beyond his control. XXXX said their computer system does that automatically and there is no way to remedy that. 

I told XXXX that was absurd and Citi can not simply steal 6 % interest from me this way. I was not even able to remedy the problem by sending {$1000.00}, which I was perfectly able to do, because any money I sent will be applied to the oldest charges first. That means that until I pay all the other balance down, the XX/XX/XXXX charges will just keep being increased at the rate of 29.99 %. 

So, I asked to speak with XXXX supervisor, and I was connected with a woman whose name I did not get. XXXX supervisor told me that she would look into it, needs time to review the recordings from XXXX, but will then get back to me with an answer after those reviews. On XX/XX/XXXX, I received a letter from Citi dated XX/XX/XXXX. Think about that. The very next day, a form letter was generated and then tendered to me at a later date. 

That form letter says nothing about a review of the XXXX recordings. It is merely a form letter that states, XXXX XXXX. Weve reviewed your request to lower the Annual Percentage Rate ( APR ) on your Citi Diamond Preferred Mastercard account. Were unable to approve your request due to your past years payment history. Again, every regular monthly payment I make is greater than the minimum payment due. 

It is obvious that nobody took any time to listen to the XXXX recorded conversations. Citi failed to provide me specific notice of the increase of the rate of interest to 29.99 % prior to my using the card in XX/XX/XXXX. Citis representatives never had any intention of resolving this issue of theft from me. 

Then on XX/XX/XXXX, I receive a letter from Citi. Dear XXXX XXXX. XXXX, We want to say thanks with an opportunity to request an increase in your credit line. As a part of a select group, youre invited to request a credit limit increase on your Citi Diamond Preferred Card. Thats right. Apparently, my credit history with Citi is good enough for them to invite me to increase my credit limit but fails to sway Citi to correct an error they made, an error that is tantamount to stealing 6 % interest from me on an ongoing basis. 

Surely there is something that somebody can do to remedy this. I look forward to hearing what, if anything, you can do to help me. Thank you.

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