NEW YORK, NEW YORK -- Citibank offers a 0% balance transfer for up to 6 months with a tranfer fee of 3% that gets rolled into the total transfer amount. This is fine and fully understandable. One caveat, going forward, the normal grace period applied to standard purchases no longer applies. If you use the card for what they refer to as standard purchases those charges will automatically start accruing interest at your standard APR from date of purchase! I incorrectly thought that if the standard purchases are paid in full each month plus the minimum amount due on the balance transfer, then there would be no interest at statement date.
I complained about this and Citi did reimburse the interest charges so I thought we were done. I get my statement today and there is a .50 fee called "minimum charge" fee. I called up and was told it was just "residual" interest from the prior month (on the amount they had reimbursed!) I was then told there would be no more fees going forward (we'll see). In my case these amounts are miniscule but it is the principle that concerns me. What about the person who makes substantial standard purchases and they get slammed with huge interest charges and fees?
I am a big believer in personal responsibiltiy, buyer beware etc. But this offer of 0% on balance transfers should include a better description of the terms and conditions. Word of caution, this will work for you, just do not make any additional purchases (standard purchases) with the card. Put it away until you have paid the transfer balance in full. I recently went back to the fine print and found the disclaimer that states that the grace period "may" no longer apply. Always call before signing up and have a list of questions to ask before you commit.
I have been receiving Balance Transfer Offers through the mail from Citibank - in the form of Balance Transfer checks. The offers were for 0% APR - 12 months, and could be used to pay off high interest rate cards, or you could take the checks, deposit them, to use as you desire. I received the checks in May. The offer indicated that the checks had to be posted by June 24, 2010. I deposited a check on May 12th, plenty of time to beat the expiration date. The check was RETURNED about 5 days later, and a $10.00 return fee was tacked onto my checking acct. I called Citibank to find out why the check was not honored, according to the terms of the offer.
Several people I spoke with, indicated that there were NO BAL XFER offers on my account. Of course, I responded, "But I'm holding the offer in my hand." I faxed the letter, called several times, spoke with several supervisors, only to find out that the checks would continue to come - but because "my credit rating" had changed, the offer was no longer valid.
Of course, this made me furious, because I would NEVER HAVE KNOWN THIS, UNLESS I KEPT CALLING AND INSISTING ON SOMEONE TELLING ME WHY I AM RECEIVING THESE CHECKS! I finally told them to NOT send me ANY MORE OFFERS, because they're not even worth the paper they're written on. And finally - PLEASE SEND ME MY DAMN $10.00 - for YOUR - RETURNED CHECK!
MORRIS PLAINS, NEW JERSEY -- Recently I got an offer from citibank about balance transfer which was 5.9% till the balance is paid in full which was quite tempting. I had a home equity line of credit with variable interest rate of 8.5% which is rising since Fed are increasing the rates. I decided to transfer a balance from citibank to Washington Mutual and It turned out to be disaster. I requested citibank to transfer $20550.00 to Washington Mutual Home equity account which according to citibank has been done Electronically on April 19th 2006. It is approx 6 week and according to Washington Mutual bank they did not receive any payments and have no record on it.
I asked both citi bank and Washington Mutual to put a trace on it but even after 5 weeks either have them were able to resolve the issue. I tried to put them in conference call so they can talk to each other and resolve the issues but that did not help either. IN the mean time I end up paying interest and payment on both Washington Mutual as well as citibank. I am forced to do that because if I don't make payment my credit could be effected. I intend to close both account as soon as it is resolved and if it is resolved. Because both have them is giving me run around without doing anything to resolve it.