Deceptive citibank letter titled "promotional offer update"

[Charlington]

Hey guys, caught this letter from citibank trying to sneak into my junk mail. I almost trashed it. Please read it and tell me if it has anything to do with "promotional offers". Pretty deceptive imo.

[RozBuds]

I have received that same letter in the mail from both Sears and Lowes. To me they are making it clear that if you use one of their promotional offers and it is not paid in full (not even one second late) by the end of the promo date you will incur 100% of finance charges on the entire purchase amount. I purchased my Washer and Dryer from Lowe's with this type offer and paid every month and paid it off a month early and no finance charge at all. This offer was even set up with zero payments but I chose to pay just in case I didn't have 1K by the end of the promotion. Mine was for one year. I think these are great deals. And if you are really good with your money you can sock the 1K away, earn a little interest and then pay when due.

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@Charlington wrote:

Hey guys, caught this letter from citibank trying to sneak into my junk mail. I almost trashed it. Please read it and tell me if it has anything to do with "promotional offers". Pretty deceptive imo.

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Message Edited by RozBuds on 10-28-2009 09:08 PM

[Lel]

Compared to the offers of deferred interest on purchases that I've received, this letter is actually more forthcoming about what will happen if you don't pay off your balance in full by the time the offer ends.  It warns you pretty clearly that interest will be charged starting from the date of purchase, not starting from the end of the interest-free period.  For me, this info is typically buried in the fine print on the back of the letter.  36 months interest free is a good deal if you have the discipline to pay off the balance gradually over time.

[MarineVietVet]

My Care Credit and Best Buy accounts have offers like this. Both spell out what needs to be done to defer all finance charges. I've taken advantage of both.

[MsKiwi]

pretty clear and upfront. It's not a promo offer, it's explaing the promo offer terms.

[DI]

Not a new practice.  Circuit City was the king of that.  I bought my Plasma T.V. that way.  I was never late and PIF before the 18  monthss promotion ended.  Win Win for us both.  Well for me at least since CC is now bankrupt.  Crooks!

Message Edited by DI on 10-29-2009 10:13 AM

[Lel]

Got the exact same letter today.  Just might have to take advantage of it, especially if I can get a huge LED TV with payments spread out over 3 years!

[DI]

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@Lel wrote:
Got the exact same letter today.  Just might have to take advantage of it, especially if I can get a huge LED TV with payments spread out over 3 years!

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I would do it Lel. The 0% interest  back in 2007 for 18 months worked perfect for me.  After I bought the TV, it went on sale.  I contacted Circuit City, and they reduced the price...$941. I paid $52 for 18 months.

Message Edited by DI on 10-29-2009 02:22 PM

Message Edited by DI on 10-29-2009 02:23 PM

[creditwherecreditisdue]

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@Charlington wrote:

Hey guys, caught this letter from citibank trying to sneak into my junk mail. I almost trashed it. Please read it and tell me if it has anything to do with "promotional offers". Pretty deceptive imo.

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The letter has everything to do with promotional offers and is not deceptive in the least!