Good bye Citibank, it was fun while it lasted

I got an envelope, in which I’m allowed to opt-out of the following changes in terms (to get in under the deadline in legislation.)

-We’ll up your interest rate from 14.99% to 16.99%
-We’ll up your cash-advance rate from (something stupid like 22%) to 24.99% (!!)

I called up my credit union. Their rate is 7%. Their rate for cash advances is 7%. Their rate for short term unsecured loans is…7%

I asked them what my wife and my credit scores were: 780 and 740.

Citibank, if this is how you treat the folks with stellar credit, the ones that have held a revolving $3000 balance, on average, for over ten years, then you deserve to cut your nose off to spite your face and I’ll end up saving a little money in the process.

(yeah, I know, leaving a balance on there is stupid and we’ve had both more and less on it over that period of time. The fact is, we’ve been a VERY lucrative source of income from them and to have them ratchet things up one last time before the law makes them behave in a reasonable manner is flat stupid. I hope it hurts them badly.)

With Citibank, was it ever really fun?

I’m getting the same from BoA, but I’m currently thinking I’ll keep the card, since I’ve had it for 15 years. I’m displeased that I have to continue doing business with a company I hate just because I want/need to keep my credit score high.

Same thing with American Express. From 5.24% to 15.24%. Yup, you read that correctly–an increase of 10%. This pushed me over the edge in making some financial decisions I didn’t want to have to make… sigh.

I’ve found the threads that do the most good are the ones that have a question or useful content, I neglected that in this thread…the advice:

If you qualify, you might want to look into your Credit Union if you feel your credit card company is doing you wrong.

Good advice, and that reminded me that one of my credit unions just sent me a notice: they’re reducing the interest rate on my VISA by 1%! No clearer way to show the difference between banks and credit unions; one bumped me to 24%; the other dropped me to 9%. Fortunately, I don’t carry balances on anything these days. Frontline did a program on this last week. Not only are they charging the poor to make easier and cheaper credit for the rich, but they laugh about it. There are no laws on service charges or penalties. They just keep turning the screws.

I feel the exact same way, but with the economy the way it is, the banks can afford to be choosy. They are only taking on the accounts that have virtually no chance of defaulting. The days of easy credit are over.

It was fun while it lasted.

I got some great deals by using my credit cards to my advantage.

Yeah but the poor will default and the rich and middle and even the poor that stuggle to make ends meet and do it, will just wind up paying more to make up for the defaults.

Although truthfully the way the credit card companies have gone in the last six months, makes me want to just default on all my bills, just “cause.” No other reason, I’d like to default just to make 'em mad

That’s not it. I have nearly as high a credit score as you can GET. This is a money grab, nothing more.

Perhaps what they’re looking for is people who aren’t as -smart-. I have a $33,000 credit limit, I’ll never use 20% of that. Perhapsr they’re more interested in the folk with an $8000 limit they use all of.

The same bullshit happened to me. I don’t want to close the card since I’ve had it for a long time. I did call to see if I could do anything about it and the woman said they are doing it to better serve there customers. Yeah right.

Credit card companies don’t make money off smart sensible customers who pay their balance off each month or broke customers who default. They make money off stupid and irresponsible people with money who ring up large balances and keep paying the minimum off each month. I never pay attention to the interest rate because I always pay off my balance. However, I did see something on the news where Citi may start charging huge annual fees, in which case I’ll start looking for a new card.

Citibank has been deeply enmeshed in nearly every type of corporate crime and sleaze that’s existed in this country (and other countries) since they were founded. Predatory lending? Check. Vote buying? Check. Deceptive accounting practices? Check. Lying about mortgage-backed financial products? Check. Screwing their employees? Check. Screwing their customers? Check. Dishonest advertising? Check.

Everyone should run like hell away from them as fast as possible.

To where? There are only a few banks controlling the entire banking system. They have eliminated the laws and rules. They can charge whatever they want. They have nothing stopping them from adding any charges they want. They are too big to fail. They are also too big to exist.

Actually, the credit card companies get 1%-3% off of every purchase, depending on their relationship with the retailer, so they’re still making money off of ‘deadbeats’ like you and me. They’ve just convinced themselves that good salaries are not enough; they need obscenely high salaries.

Exactly, I am a little weary of people claiming that CC companies make no money off people who pay off their balances every month. They make money on interchange fees for every transaction.

I pay off my balance every month, and got a letter (well, several, as we have several Citi cards) explaining that our rate was going up to something insane like 29.99%. We own a home and have outstanding credit.

I called to ask if this was some sort of tragic error, but of course it wasn’t. I blistered the ears of several call-center employees and supervisors, explaining that while the increase doesn’t affect me now, it could in the future, and more importantly, you don’t screw your good customers. They were firm in their conviction hat it was an across-the-board increase regardless of credit core or payment history, and that we had to suck it. I then indicated that I would be closing all of my cards, which they acknowledged was my right, and thanked me for calling Citibank.


A few days ago, I got a bunch of letters apologizing for the first set, explaining that I am a loyal and valued customer, and that my rate will not be going up. I was floored, frankly.

Try letting them know- maybe it will actually work.

This is the second time they’ve pulled this stunt in the last year. I suspect they’ll notice when the balance drops to zero.

They can look back on the customers leaving the ship and reflect.

I’m another one who is paying off a Citibank balance because of these shenanigans. I wonder if they will really notice? Seems like a dumb way to try to stay afloat, if that’s what they’re doing. I’d think that it would hurt more than it helps.

I griped about the same thing in the Pit not too long ago (except in my case, the rate increase Citibank wanted to hit me with was 29.99%). I think we’re seeing a good example of just why they’re tottering on the edge of bankruptcy.

My Citicard rate went up to about 30%, but as long as I don’t miss a payment it will stay at the “bargain” rate of about 20%. I figure it’s because they know a lot of people have more debt than they can easily pay off and card companies aren’t handling out new ones to people with three or four already. I’ve switched to one of my other cards for daily use (10% rate) and will have my Citi card paid off within a few months. Actually by mid-2010 I intend to be debt-free (not counting my mortgage) for the first time in 10 years. My credit score is over 730 BTW.