CitiBank-AT Complaint - All Jacked Up - Interest Increase

Review by unluckygal on 2009-06-16
SIOUX FALLS, SOUTH DAKOTA -- I would like to warn anyone who is thinking of applying for a CitiBank Credit Card. DON'T DO IT. I was recently working out of the office and remembered that my CitiBank payment was due.
I got home at 4:45 pm (Central Time) and immediately logged on to pay my bill. It showed that the posting date would be the next day which would make me late. Called customer service and they said there was absolutely nothing they could do. She said the payment was due by 5:00 pm (Eastern Time) and that I would be charged the late fee by their computer system.
The next day I logged on to see my account and almost fell of my chair interest rate went from 5.93% to 25.99%. Am fighting with customer service but have never dealt with such rude and unaccomidating people in my life. Four days before my payment was due I had just received a credit line increase for being a loyal and valued customer. Guess it only takes 45 minutes to become a delinquent worthless person according to CitiBank. Will no longer be doing business with them after 15 years of loyalty. Maybe I should send them a late bill for the billions of bailout money that is my share. Greed never ceases to amaze me. This is now a worthless company in my eyes.
Comments:5 Replies - Latest reply on 2009-06-17
Posted by Anonymous on 2009-06-16:
You may be in luck. The new law that President Obama signed mandates that the bank take you back to the original interest rate after 6 months of on time payments (don't be late). Also, the new interest rate cannot be applied to your current balance. It's only for any new purchases you make since they changed your interest rate. The crooks have been stopped by the President.
Posted by Pepper on 2009-06-16:
the "don't be late" part is the issue though.

it's not like the bills come in the day before they're due...

Posted by MSCANTBEWRONG on 2009-06-17:
Why didn't you call in @ 4:45 and pay it via phone pay? That way you wouldn't have been late.
Posted by saj80 on 2009-06-17:
justthefaxx,you are correct, except these new regulations do not take effect until January, 2010. Therefore, they are of no assistance to anyone until then.
Posted by Pepper on 2009-06-17:
And... calling them "crooks" for raising rates on people who don't pay what they owe on time?

To me that sounds more like they're protecting themselves against possible future money loss.

Say Person-x has a $10,000 limit... He's paying his bills on time and suddenly stops. Suddenly he's always late.

Well Person-x was always spending money that wasn't his... but now he's not really making an effort to keep his word on paying it back... now the Company isn't sure when they'll get their money back.

So they raise rates. Now when Person-x lets a bill slide, he'll have an extra incentive to pay it off right away.

or they'll lower his limit because... perhaps Person X will spend all 10K and then not pay it back. It'll cost them money to get that money back... and you know they will do it too. So as an extra precaution they'll make sure he can't over-spend either.

What's really dying in my opinion, is the practice of spending more than what you make, of being comfortable with being in debt.

What people need to really do is get training on how to break free from debt - and that' usually *free* training too.

Then to break free of the habits of always having to spend money on things, and to start separating the "Wants" from the "Needs" and then finding ways to pay less for those "Needs"

I'm not saying don't buy any want-items ever again... but to plan it out so you aren't being tempted to slip out the credit card and "oh i'll pay for it later"

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