Citibank cardholders BEWARE!!!!

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Old 02-23-09, 12:20 PM
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Citibank cardholders BEWARE!!!!

I have a citibank premier pass account. I got a nasty surprise when I recieved my statement today. I always pay my bill about a week early and more than the minimum payment, occasionally send extra payments, and I found out that my interest rate jumped 6% in one month. I called Citibank and they said that this is an across the board increase. If that is what happens to cardholders like me, I would love to see what happened to the cardholders who have a late payment or two or never pay more than the minimum.
 
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Old 02-23-09, 12:37 PM
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Hey...Citi has to pay the Executives somehow. I saw stories..on here IIRC..that some peoples rates jumped from below 10, up to 18 or higher. If you qualify..check out Credit Unions (the membership requirements can be pretty wide open in some areas) and shop around for a better rate.
 
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Old 02-23-09, 02:27 PM
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They did offer to drop the rate from 16.99 to 9 and change provided I closed out the account and I would receive monthly statements. However I may need the card in the future since it is my sole card, but I will try to make more extra payments which is probably a drop in the bucket since I owe $3k+ on it and am not about to set up a cyberbegging account like that (insert your fave insult here) mother of octuplets raising her total to 14 kids.
 
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Old 02-23-09, 02:42 PM
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I'd still check around..
If you are good about payments on time, most places have 0% on balance transfers for a certain amount of time. Just never late is the most important thing or the rates on special offers can go thru the roof.

I love our Credit Union account. You can pay ahead and skip a month if you want, unlike most banks that just reduce the balance and you still have a payment the next month. Our CU account is really the only one we ever use, and thats just for big stuff that we pay off the mext month.
 
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Old 02-23-09, 03:58 PM
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Capital One just did that on the card I use for all my business expenses (like the $10k in gas I bought last year). Jumped the rate from, I think, 7.9% to 15% or so. Doesn't matter, fortunately, as I pay that one off every month, which I'm sure really p's them off. Beer 4U2
 
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Old 02-23-09, 04:00 PM
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Yup, I pay my stuff ontime and Capital One wants to raise my APR to.....drum roll please.....29%!!! I called the # and declined the change and closing my accounts. Ridiculous.


Edit:

Lol, 15 mins after posting this, there are stories about all these rate hikes on the news.
 

Last edited by HotxxxxxxxOKC; 02-23-09 at 04:17 PM.
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Old 02-23-09, 04:40 PM
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Again..Credit Unions are better for this kind of stuff.
 
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Old 02-23-09, 04:55 PM
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I have a Citi rewards card and just checked to see if my interest rate went up, and mine was at 8.49% this month it went down to 7.74%. I was hoping not to see it go up since I have a balance on the account. My wife and I have excellent credit though, I'm not sure if that makes a difference.
 
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Old 02-24-09, 08:55 AM
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The citibank rep told me that it was an across the board increase due to the fact that they have to pay more interest to borrow the money they lend. The funny thing is that the only recent charges on my card are about 1/10 of the balance so they are charging me for money they already borrowed on. It would be tempting for those of us who can afford to do this idea to buy up all the stock they can of their credit card company (Citigroup $2and change mark) and form a block of investors to take control them to make them lower the rates, since Citibank, not sure about others got federal money from the bank bailout.
 
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Old 02-24-09, 11:26 AM
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I have a credit card originally issued by AT&T but Citigroup now handles the processing. I looked at the statement for last month because of this thread and the interest rates were 15.46% on "regular" purchases and 19.99% on "advances". This month the rates are 19.99% and 21.99% respectively.

I don't really care what the interest rates are on a personal level because like others here I pay in full every month. I don't think I have had an outstanding balance on either of my two cards since I moved into this house and that was only because I had to buy a new refrigerator and carried a balance for three months.

What does irritate me is the horrendous spread between interest rates on personal loans (including credit cards) and what is paid on savings accounts.
 
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Old 02-24-09, 12:15 PM
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Originally Posted by nightowlpunk View Post
The citibank rep told me that it was an across the board increase due to the fact that they have to pay more interest to borrow the money they lend.
Also have those big payouts to the congressmen and senators. Beer 4U2
 
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Old 02-25-09, 09:09 AM
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Originally Posted by nightowlpunk View Post
The citibank rep told me that it was an across the board increase due to the fact that they have to pay more interest to borrow the money they lend.
Wow, interest rates are at record LOWS, yet they justify raising their rates to customers by saying they have to pay MORE interest! I pay off my balance every month, and I'm tempted to close all my credit card accounts but one, however the "experts" say closing credit card accounts, especially long-held ones, can be damaging to your credit report.

I have a VISA account that I've had since 1976 that I don't use any more, but wanted to keep open "just in case", and they tried to charge me $50/year "dormant account maintenance fees". I called and tried to cancel the account, but those people absolutely would not take NO for an answer. They said they would drop the "inactivity fee" if I would keep the account open. So I've still got it laying in my desk drawer, since it seems inpossible to get rid of it.
 
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Old 02-25-09, 09:40 AM
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The downright amazing thing I was told by citibank is that 16.99% is their LOWEST rate (insert what the expetive here). Why isnt it legal to rob banks? After all they are robbing us in more than one way, The taxpayer bailout and interest rates. Please President Obama do somethng other than your stimulus plan, attack these greedier than pigs banks.
 
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Old 02-25-09, 10:09 AM
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Yeah the 16.99% is the lowest for YOU and ME.....not Mr Bank President or Auto CEO.

I'm tellin ya...Credit Union. We have one through NFCU..was 11%, had been that way for several years at least. When we got our mortgage through them and one car loan, I asked about a reduction....now 9 something.
 
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Old 02-25-09, 03:11 PM
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I have my "other" credit card through a credit union. Interest rate for both purchases and advances is 8.99%.

I haven't had an account at a commercial bank OR savings&loan for close to twenty years. I do find that my smaller credit union has MUCH better and more personal service than the larger credit union.

Bigger is not always better.
 
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