Watch for CITI rate hike !!!

Discussion in 'Credit Talk' started by Platinum, Aug 25, 2003.

  1. Platinum

    Platinum Well-Known Member

    Received today from:

    Customer Service Center
    P.O. Box 44126
    Jacksonville, FL 32231-4126

    Notice of Change in Terms to Your Card Agreement
    Effective on the first day of your billing period beginning on or after September 4, 2003 (whether or not you receive a billing statement), we are amending your Card Agreement to substitute the following terms for the corresponding terms in your existing Card Agreement. We encourage you to read this notice and save it for future reference.

    Annual Percentage Rate for Purchases:
    Your annual percentage rate for purchases is the U.S. Prime Rate plus 5.99%. As of July 1, 2003, this purchase ANNUAL PERCENTAGE RATE is 9.99%, which corresponds to a daily periodic rate of 0.0274%. A daily periodic rate is the applicable annual percentage rate divided by 365. Please see the section of your Card Agreement entitled "Variable Annual Percentage Rates for Purchases and Cash Advances" for details relating to how this purchase rate may change, including if you default under any Card Agreement that you have with us.

    The annual percentage rates in effect and any subsequent changes to them will appear on your billing statement. An increase in a variable annual percentage rate means you will pay a higher finance charge and perhaps a higher minimum payment.

    Non-Acceptance Instructions:
    If you do not wish to accept these changes, you must notify us in writing by October 30, 2003, stating your non-acceptance. Include your name, address, and account number and mail to: Customer Service Center, P.O. Box 44123, Jacksonville, Florida, 32231-4123. If you notify us that you do not accept these changes you can continue to use your card(s) under your existing terms until the end of your current membership year or the expiration date on your card(s), whichever is later. At that time your account will be closed and you will be able to pay off your remaining balance under your current terms.




    Why Citi, why ???

    It was my Platinum Select with Prime Rate plus 1.99% APR. No perks. Just an excellent rate. Now it's 9.99% APR. Still no perks. Only APR increase.

    Few weeks ago they increased my credit limit from $14.000 to $25.000. Since then I used the card only once. My balance is $18 right now. Never late with them, never late with others. Never over limit or anything adverse. My score only have increased.

    THIS IS NOW MY WORST CARD...
    I WILL NOT GIVE THEM CHANCE TO EARN ONE CENT OF INTEREST ON ME...
    I WILL CHARGE $1 PER MONTH AND HAVE THEM TO SEND THE PAPER STATEMENT TO MY ADDRESS EVERY MONTH REGULARY...
    I WILL NOT CALL THEM TO COMPLAIN OR ASK QUESTION...
    THEY HAVE TO CALL ME AND BEG FOR MY BUSINESS...

    As George like to say>>>THEIR LOSS>>>NOT MINE
     
  2. DanS

    DanS Well-Known Member

    How do you charge just one dollar a month?
     
  3. Platinum

    Platinum Well-Known Member

    Easy, I will buy a gum or gasoline...Whateverrrrr...
     
  4. catnap1972

    catnap1972 Well-Known Member

    My guess: that limit increase makes you more of a risk, and the fact that you said that they're not making much off of you (balances) are probably their justification for the rate jack.

    BTW, it's probably internal scoring that flagged you for the APR increase and not a FICO change (they don't use FICO scores for account approvals and they likely don't for reviews either)
     
  5. GEORGE

    GEORGE Well-Known Member

    USE "PAY-AT-THE-PUMP" STOP AT $1.00!!!

    WARNING~~I GAVE DISCOVERCARD MY -$0.02...THEY WROTE IT OFF!!! THEY ASSUMED I DIDN'T NEED THAT TWO CENTS!!! THEY HAD NO RIGHT TO KEEP MY TWO CENTS!!!

    CITIBANK may also WRITE IT OFF!!! (even though "YOU" owe them $1.00)
     
  6. GEORGE

    GEORGE Well-Known Member

    9.99% IS MY "UPPER LIMIT" OF WHAT I WILL PAY...BUT IT STILL IS REASONABLE...

    "IF" you have to be "JACKED"...THAT IS A GOOD INTEREST RATE TO BE "JACKED" TO!!!
     
  7. Platinum

    Platinum Well-Known Member

    Re: Re: Watch for CITI rate hike !!!


    Hi catnap1972,

    Your guess is probably right. I appreciate your input.
    But where is the LOGIC here on the Citi side ???
    Do they think I will be using my card more often now ???

    SURE NOT !!!
     
  8. faztcobra

    faztcobra Well-Known Member

    Re: Re: Watch for CITI rate hike !!!

    Crap1 did the same to me, except it was more. They kept my .11 cents. Overpaid one month and after 3 months of having a neg balance, they zeroed out my account.
     
  9. Platinum

    Platinum Well-Known Member

    Re: Re: Watch for CITI rate hike !!!


    OK...then how about $3 every month pay-at-the-pump...they have to send me a statement...right ???
     
  10. Flyingifr

    Flyingifr Well-Known Member

    Re: Re: Watch for CITI rate hike !!!

    I think you are on track, but look at the implications:

    CITI gave you the credit line increase that CITI looks at as making you a higher risk, so CITI increases your interest rate. Notice that CITI controlled all aspects of this action, you did nothing.

    I wonder if it works in reverse - give back the credit line increase anf get back your old (lower) interest rate. probably it only works in my imagination.
     
  11. Platinum

    Platinum Well-Known Member

    Re: Re: Re: Watch for CITI rate hike !!!


    CONCLUSION------>DO NOT WISH HIGHER CREDIT LINE

    HIGHER CREDIT LINE--->HIGHER RISK--->HIGHER APR

    George...ya hear me...
     
  12. Calypso

    Calypso Well-Known Member

    Re: Re: Re: Watch for CITI rate hike !!!

    Should have read yours before I posted mine.

    Grrrrrrrr-- Just got off the phone.

    Accounts were chosen "at random" for rate hike

    What???

    What kind of stupid business is that??

    My scores are golden. Perfect history with Citi.

    I think this is huge business mistake on their part.

    I have better rates with BofA, Amex and US Bank. Discover was already "sock-drawered" years ago because they refused to play nice.

    Citi WAS one of my favs, but their attitude today irritated the heck out of me. (And I thought my rate hike was because I finally USED my Driver's Edge rebate-- got the check in the mail on the same day I received the rate hike notice)
     
  13. Flyingifr

    Flyingifr Well-Known Member

    Re: Re: Re: Re: Watch for CITI rate hike !!!

    That will teach you - there is no such thing as a 'good and valued customer" any more.

    It's just "screw them before they screw us"
     
  14. GEORGE

    GEORGE Well-Known Member

    Re: Re: Re: Re: Watch for CITI rate hike !!!

    SO "IF" MBNA EVER GIVE ME MY "RETRO-ACTIVE" INCREASES FOR 7+ YEARS...THEY WILL ALSO "JACK" ME???

    Ok here ya' go...a limit increase we never gave you...
    ($70,000 [7 X $10,000] + $31,600 current) = $101,600...plus "JACKED" to 21.99%???

    I am paying them OFF A.S.A.P. not for FEAR of "JACKAGE"...I JUST DON'T NEED THEM ANY MORE WITH A BT FEE OF $75.00!!! AND NO BENEFITS...

    "IF" THEY LET ME (when it is paid in full) I WILL TRADE IT FOR AMTRAK 1:1 UA MILES OR AAA $0.05/$1.00 <CREDIT> FOR "PAY-AT-THE-PUMP"
     
  15. catnap1972

    catnap1972 Well-Known Member

    Re: Re: Re: Watch for CITI rate hike !!!

    Yep...almost like they almost planned it that way....computer giveth then screws you in the same month.

    And the skeptical side of me wonders...are those of you that get denied for cards then put in for reconsideration (successful) setting yourself up to be screwed over down the line? "HMMM...they really want our card...flag it so we'll jack em down the line when they pile the balances on"
     
  16. Calypso

    Calypso Well-Known Member

    Re: Re: Re: Re: Watch for CITI rate hike !!!

    postscript to this thread--

    to balance out my ire at citi, I tried calling the magic Disc number someone here posted and they FINALLY lowered my APR.

    Sorta funny how that worked out.


    Does anybody know what the absolute lowest BofA offers? I think I am going to go for that and switch biz to them from Citi.
     
  17. GEORGE

    GEORGE Well-Known Member

    Re: Re: Re: Re: Watch for CITI rate hike !!!

    ALWAYS HAVE A BACK-UP
     
  18. catnap1972

    catnap1972 Well-Known Member

    Re: Re: Re: Re: Re: Watch for CITI rate hike !!!

    Ah, but then just having that back-up = bigger risk which = better jack up that rate!
     
  19. lbrown59

    lbrown59 Well-Known Member

    Re: Re: Re: Watch for CITI rate hike !!!

    Insurance Cos. are good at this too.
     
  20. wlewisj

    wlewisj Well-Known Member

    Re: Re: Re: Watch for CITI rate hike !!!

    Citi did the same thing last Sept. It is not random but across the board. I think they raise rates across the board and then wait and see how many customers call and complain. Usually, the smart shoppers/users will call and ask for an explanation. If you have paid on time and are in good standing they will lower your rate back. I had to do the same thing last year. It only took about 5 minutes with 'R'.

    HTH
    Willis
     

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