Citibank N A Complaint - Unrealistic Interest Rate Hike to 29.9%
SHREVEPORT, LOUISIANA -- Well, I recently switched my account to paperless (no bill) and chose to pay my Citi Card account online. I had a 8.9% interest rate on my balance and my payment of $110 was due last Friday. I had the emails automated to go to my AOL account, unaware the spam filter would block it out.. Thus, never saw bill. Cant say this is Citi Cards fault, but heres where the horror story begins.
Upon reviewing my bills on Sunday, I looked over my Citi Card statement online, I noticed the rate was at 29.9% and I had a $39 late fee. My minimum charge was also increased to $357. I called customer service right away, explained what had happened to no avail. I explained to them that it was rediculous to charge 29.9% APR when I was a good customer and had never been late in the last 18 months I've been with them. Didn't seem to make a difference. And they said I wasn't qualified to be considered for a rate reduction either.
So, I sought plan B. I advised the rep they lost a customer to my other credit card who allowed me to transfer the full balance @ 3.99% for 8 months and around 9% APR there after.
I am in good financial standings and likely could've paid the $357/ month minimum, but it would still hurt. But I think about the poorer people out there who can't afford to get out of the situation and are stuck paying this enomorous interest rate?