topic Citi DC APR for purchases rate-jacked from 9.24% V to 13.99% V in Credit Cards

Citi DC APR for purchases rate-jacked from 9.24% V to 13.99% V

galahad15 — Fri, 12 Nov 2021 20:13:31 GMT

FYI: forum members may want to check their monthly Citi statements extra-carefully now and in the coming months. In my electronic statement for this month, I noticed that for my Citi DC card, Citi had change-in-terms language that will effectively rate-jack my APR for purchases from the current rate of 9.24% V to 13.99% V, and the new rate will start in December The reason for the rate-jack, as listed on the statement, is "Your APR for Purchases and Citi Flex Plans are below the lowest APR(s) we offer on the same or similar accounts. As a result, we are increasing your APR(s)".

I won't close the card because it is among my highest-available CLs, but I definitely won't be using it much at all going forward. I guess this is basically Citi's "lump of coal" present for me, for the upcoming December winter holidays...

Re: Citi DC APR for purchases rate-jacked from 9.24% V to 13.99% V

FinStar — Fri, 12 Nov 2021 20:30:03 GMT

@galahad15 wrote:
FYI: forum members may want to check their monthly Citi statements extra-carefully now and in the coming months. In my electronic statement for this month, I noticed that for my Citi DC card, Citi had change-in-terms language that will effectively rate-jack my APR for purchases from the current rate of 9.24% V to 13.99% V, and the new rate will start in December The reason for the rate-jack, as listed on the statement, is "Your APR for Purchases and Citi Flex Plans are below the lowest APR(s) we offer on the same or similar accounts. As a result, we are increasing your APR(s)".

I won't close the card because it is among my highest-available CLs, but I definitely won't be using it much at all going forward. I guess this is basically Citi's "lump of coal" present for me, for the upcoming December winter holidays...

Thanks for the heads up. All of mine seem to be intact for the time being, including 4 (Dividend, Diamond Preferred, TYP, Citi Exec) that have the lowest APRs (6.74% - 8.24%). My Double Cash is currently 9.49% 🤷‍♂️

Are you still carrying balances or BTs on some of your other cards?

Re: Citi DC APR for purchases rate-jacked from 9.24% V to 13.99% V

Curious_George2 — Fri, 12 Nov 2021 20:30:04 GMT

That's a bummer. I have a similar card, but they haven't come for me yet. Mine is a 13 year old tradeline, also with a 9.24% APR. I happen to have PC'ed it from DC to Rewards+ last month, but I doubt that makes a difference. No mention of a rate hike on my November statement. They'll probably zap me next month.

If I'm being totally honest, I have always been a little surprised that most issuers let older accounts stay at low APRs. So I can't muster any actual outrage about actions like this. But it stinks when it happens.

Re: Citi DC APR for purchases rate-jacked from 9.24% V to 13.99% V

galahad15 — Fri, 12 Nov 2021 21:45:06 GMT

@FinStar wrote:

Are you still carrying balances or BTs on some of your other cards?

Currently yes, I was carrying a balance of ~$3,000 on the Citi DC before the rate increase. There are also balances across other cards below 10% APR, but no cards over 10% APR are carrying balances. Balances are mostly marginal and not excessive on the cards that I am revolving balancs on. The only significant larger-than-typical balance is on my FNBO Amex at 6.25% V with a $85k CL, which is carrying about $20k due to multiple major car repairs after it sustained critical damage in a car accident, and expensive infrastructure-related home repairs to repair the sump pump and the main sewer line after they failed, both of the above over the past year or so. Please note though that I am also trying to pay the FNBO card down as quickly as possible, with paying between $600 - $900 each month on that card in an effort to try to decrease the balance asap.

Re: Citi DC APR for purchases rate-jacked from 9.24% V to 13.99% V

FinStar — Fri, 12 Nov 2021 21:43:39 GMT

@galahad15 wrote:
@FinStar wrote:

Are you still carrying balances or BTs on some of your other cards?
Currently yes, I was carrying a balance of ~$3,000 on the Citi DC before the rate increase. There are also balances across other cards below 10% APR, but no cards over 10% APR are carrying balances. Balances are mostly marginal and not excessive on the cards that I am revolving balancs on. The only singificant larger-than-typical balance is on my FNBO Amex at 6.25% V with a $85k CL, which is carrying about $20k due to multiple major car repairs after it sustained critical damage in a car accident, and expensive infrastructure-related home repairs to repair the sump pump and the main sewer line after they failed, both of the above over the past year or so. Please note though that I am also trying to pay the FNBO card down as quickly as possible, with paying between $600 - $900 each month on that card in an effort to try to decrease the balance asap.

Ok, it's likely Citi is adjusting APRs for internal reasons based on some of these factors. I went back and checked all electronic docs and recent statements, and there was no such language on mine. I'll double check next month just in case and report back.

I think it's fairly possible that you could have it lowered again after some time since Citi is typically flexible when it comes to lowering standard APRs provided your account is eligible.

Is the Citi DC $3K balance revolving at 9%? If so, given the plethora of other CU cards in your arsenal, couldn't you BT that balance to any of those?

Re: Citi DC APR for purchases rate-jacked from 9.24% V to 13.99% V

galahad15 — Fri, 12 Nov 2021 22:00:42 GMT

@FinStar wrote:

Is the Citi DC $3K balance revolving at 9%? If so, given the plethora of other CU cards in your arsenal, couldn't you BT that balance to any of those?

That's actually a great idea, thanks for the helpful advice! Most of the other CU cards are currently carrying 0% BT promos (fortunately they are all only 10-20% of their total credit limits, so they are nowhere remotely near being maxxed out). But the balance on the Unify FCU card at 4.99% V is relatively close to $0 (~$105 balance or thereabouts), and the BT rate is the same as the rate for purchases at 4.99% V with no BT fees. I could also hypothetically transfer the $3k Citi DC balance to my PACU card at 7.50% F, which again has the same rate for BT, also iirc, has no BT fee either. While I could in theory BT it as well to the FNBO Amex (as they are currently offering me a 4.99% F rate for-life rate on balance transfers the last time I checked), I don't really think that would be a good idea due to the already-high revolving balance on it.

Re: Citi DC APR for purchases rate-jacked from 9.24% V to 13.99% V

hdporter — Sun, 14 Nov 2021 07:07:37 GMT

You may wish to review your statement more carefully. I have a rate change notice on my statement that indeed includes the text, "Your APR(s) are lower than the APR(s) than we currently offer on the same or similar credit cards"

However, this rate change is limited to my default balance transfer rate. My purchase rate of 6.24% is intact.

Your terms change may be applicable to your purchase rate, however given that my 6.24% rate is intact, the "your APRs are lower" boiler plate language would be a lie in your instance.

Re: Citi DC APR for purchases rate-jacked from 9.24% V to 13.99% V

Matt9543 — Sun, 14 Nov 2021 08:35:01 GMT

@galahad15 wrote:
FYI: forum members may want to check their monthly Citi statements extra-carefully now and in the coming months. In my electronic statement for this month, I noticed that for my Citi DC card, Citi had change-in-terms language that will effectively rate-jack my APR for purchases from the current rate of 9.24% V to 13.99% V, and the new rate will start in December The reason for the rate-jack, as listed on the statement, is "Your APR for Purchases and Citi Flex Plans are below the lowest APR(s) we offer on the same or similar accounts. As a result, we are increasing your APR(s)".

I won't close the card because it is among my highest-available CLs, but I definitely won't be using it much at all going forward. I guess this is basically Citi's "lump of coal" present for me, for the upcoming December winter holidays...

When looking at mine, I did see that they're raising my Balance Transfer APR by 5% when I request one be done through a balance transfer check. Also, it did say they are implementing an automatic linking of citi retail and credit card accounts to one id, so hopefully we can view retail credit cards through one login now.

Re: Citi DC APR for purchases rate-jacked from 9.24% V to 13.99% V

BearsCubsOtters — Sun, 14 Nov 2021 14:25:52 GMT

@galahad15 Good catch. I never read these like I should....my eyes go straight to the rewards earnings...

I have this language on 2 of my Citi cards:

"We are increasing your APR for certain types of balance transfers. Your APR for Purchases will continue to apply for balance transfers where you instruct us to pay another creditor on your behalf. We are increasing the APR for all other balance transfers, including those made via check or direct deposit. This increase is based on the credit risk related to check and direct deposit balance transfer transactions."

"Disclaimer: In the coming weeks, we'll be initiating implementation of automatic linking functionality to link all your eligible Citi retail and credit card accounts to your existing User ID. Once this update takes place, you will be notified with a confirmation email. Linking your accounts to a single User ID will allow you to view your accounts in one convenient location while maintaining the ability to manage certain preferences for each account. As a reminder, for the security of your account(s), please do not share your login credentials with others, including authorized user(s)."

So it looks like on these two, the APR for the certain balance transfers is going up, but purchase APR stays the same. Which is not shocking as one is 13.9% and the other is 15.49%

My Custom Cash is at 8.99% so I bet when it cycles this week I will see a lovely increase to my purchase APR as you have. Thanks for the heads up!

Re: Citi DC APR for purchases rate-jacked from 9.24% V to 13.99% V

Yasselife — Mon, 15 Nov 2021 15:03:33 GMT

@galahad15 If you plan on revolving a balance why not go for the Citi flex loan, to which you can pay early without penalty.
Example my DC apr is 21%, flex loan option is 6.99% for up to 60 months. Chase has something similar.

Re: Citi DC APR for purchases rate-jacked from 9.24% V to 13.99% V

galahad15 — Tue, 16 Nov 2021 02:31:22 GMT

@Yasselife wrote:
@galahad15 If you plan on revolving a balance why not go for the Citi flex loan, to which you can pay early without penalty.
Example my DC apr is 21%, flex loan option is 6.99% for up to 60 months. Chase has something similar.

Thanks for the helpful suggestion @Yasselife! However, since I have existing cards with 6.99% or lower APRs, I think I would rather stick with these rather than go with the DC flex loan option, just because I would ideally prefer to avoid having to deal with the 60 month term guidelines, etc. Thx again though!

Re: Citi DC APR for purchases rate-jacked from 9.24% V to 13.99% V

Anonymous — Tue, 16 Nov 2021 07:49:57 GMT

@BearsCubsOtters wrote:
@galahad15 Good catch. I never read these like I should....my eyes go straight to the rewards earnings...

I have this language on 2 of my Citi cards:

"We are increasing your APR for certain types of balance transfers. Your APR for Purchases will continue to apply for balance transfers where you instruct us to pay another creditor on your behalf. We are increasing the APR for all other balance transfers, including those made via check or direct deposit. This increase is based on the credit risk related to check and direct deposit balance transfer transactions."

"Disclaimer: In the coming weeks, we'll be initiating implementation of automatic linking functionality to link all your eligible Citi retail and credit card accounts to your existing User ID. Once this update takes place, you will be notified with a confirmation email. Linking your accounts to a single User ID will allow you to view your accounts in one convenient location while maintaining the ability to manage certain preferences for each account. As a reminder, for the security of your account(s), please do not share your login credentials with others, including authorized user(s)."

So it looks like on these two, the APR for the certain balance transfers is going up, but purchase APR stays the same. Which is not shocking as one is 13.9% and the other is 15.49%

My Custom Cash is at 8.99% so I bet when it cycles this week I will see a lovely increase to my purchase APR as you have. Thanks for the heads up!

Found similar language on my Citi Double Cash Card only affeccting certain balance transfers (not purchases). One comment is that I have not done a BT with Citi since 2013. Sure don't understand? Oh yeah ... "it is only business" and glad this thread exists as I wondered and now I know others are seeing variations of what you spelled out!

Citibank change of terms on balance transfers.

Benzman — Mon, 29 Nov 2021 07:34:09 GMT

Was talking to a few of my friends today and they mentioned to me that in their December statements, there was a notice about changing interest rates effective in January for new balance transfers whereas one rate is for transfers completed by Citi directly to the other bank, and a different rate if the individual requests a check or a direct deposit into ones own bank account. Has anyone else got this notice? I don't get my statements for a few more days, but it sounded a little strange to me.

Re: Citibank change of terms on balance transfers.

Anonymous — Mon, 29 Nov 2021 10:24:14 GMT

@Benzman wrote:
Was talking to a few of my friends today and they mentioned to me that in their December statements, there was a notice about changing interest rates effective in January for new balance transfers whereas one rate is for transfers completed by Citi directly to the other bank, and a different rate if the individual requests a check or a direct deposit into ones own bank account. Has anyone else got this notice? I don't get my statements for a few more days, but it sounded a little strange to me.

I think you may be talking about the Citi Flex Loan offer. It expires on 12/27/2021 and allows you to choose your terms from anywhere from 12 months up until 36 months. The loan is considered a "cash advance" but carries a mid interest rate of somewhere around 9% to 15% based on your credit profile. There is no application you are automatically approved and it will post to your Citi Card as a cash advance with special terms and rates. It is then billed to your minimum monthly payment based on the amount and lenght of the loan you have chosen.

It is not being offered to everyone. Only to accounts with perfect payment histories and very low utilization on that card. I am sure there are other things they may be looking for prior to giving you an offer but I have no idea what they may be. If you want to see if you are being given this offer just log onto your Citi Card or Cards and there will be an automatic pop up with the offer if you are on their list to get such an offer. I did receive the offer and I carefully read through it but I have no need to borrow money so I just deleted it.

Thanks

Mark

Re: Citibank change of terms on balance transfers.

macinjosh — Mon, 29 Nov 2021 12:37:10 GMT

Yes, I saw something going to that effect somewhere. It was a surprise to see that Citi would do this, however, it covers non promotional BT's. I'd like to see how it would be if there was a promo offer for a BT.

Re: Citibank change of terms on balance transfers.

Yasselife — Mon, 29 Nov 2021 14:36:05 GMT

If you'd like to check flex loan again follow the steps:

- at the bottom says *services*, click on that.

-scroll all the way to the bottom again, click on *Products and Offers*

- select: *Lending*

You'll see a list of options including balance transfers.

Re: Citibank change of terms on balance transfers.

Remedios — Mon, 29 Nov 2021 14:36:18 GMT

@Benzman wrote:
Was talking to a few of my friends today and they mentioned to me that in their December statements, there was a notice about changing interest rates effective in January for new balance transfers whereas one rate is for transfers completed by Citi directly to the other bank, and a different rate if the individual requests a check or a direct deposit into ones own bank account. Has anyone else got this notice? I don't get my statements for a few more days, but it sounded a little strange to me.

I looked at my last statement, it closed on 11/24, and I see nothing referencing changes to BT (I had no idea Citi allows BT to checking).

Granted, it's 6 am and I think Im drinking defective coffee, but still...I cannot find anything

Re: Citibank change of terms on balance transfers.

Remedios — Mon, 29 Nov 2021 14:45:33 GMT

@Anonymous wrote:
@Benzman wrote:
Was talking to a few of my friends today and they mentioned to me that in their December statements, there was a notice about changing interest rates effective in January for new balance transfers whereas one rate is for transfers completed by Citi directly to the other bank, and a different rate if the individual requests a check or a direct deposit into ones own bank account. Has anyone else got this notice? I don't get my statements for a few more days, but it sounded a little strange to me.
I think you may be talking about the Citi Flex Loan offer. It expires on 12/27/2021 and allows you to choose your terms from anywhere from 12 months up until 36 months. The loan is considered a "cash advance" but carries a mid interest rate of somewhere around 9% to 15% based on your credit profile. There is no application you are automatically approved and it will post to your Citi Card as a cash advance with special terms and rates. It is then billed to your minimum monthly payment based on the amount and lenght of the loan you have chosen.

It is not being offered to everyone. Only to accounts with perfect payment histories and very low utilization on that card. I am sure there are other things they may be looking for prior to giving you an offer but I have no idea what they may be. If you want to see if you are being given this offer just log onto your Citi Card or Cards and there will be an automatic pop up with the offer if you are on their list to get such an offer. I did receive the offer and I carefully read through it but I have no need to borrow money so I just deleted it.
Thanks
Mark

Flex loan doesn't "expire" on 12/27.

If your offer says so, than maybe it does for you, but I have an offer, it's ongoing and there is no expiration date.

Also, I am not sure where did you get that APR range. It's profile dependent, and mine is 6.99%

Another thing, my terms are up to to 60 months, so again not sure where you are getting 36 months.

As far as deleting it, that's not possible.

You can delete email but you cannot remove it from your account.

If it was offered to you, it's still in your app/web interface, and those terms were specific to you.

One last point, when I got the offer my reported utilization was about 37% on DC. There is no metric by which that's ultra low.

Re: Citibank change of terms on balance transfers.

Anonymous — Mon, 29 Nov 2021 14:51:33 GMT

@Remedios wrote:
@Benzman wrote:
Was talking to a few of my friends today and they mentioned to me that in their December statements, there was a notice about changing interest rates effective in January for new balance transfers whereas one rate is for transfers completed by Citi directly to the other bank, and a different rate if the individual requests a check or a direct deposit into ones own bank account. Has anyone else got this notice? I don't get my statements for a few more days, but it sounded a little strange to me.
I looked at my last statement, it closed on 11/24, and I see nothing referencing changes to BT (I had no idea Citi allows BT to checking).
Granted, it's 6 am and I think Im drinking defective coffee, but still...I cannot find anything

There is nothing on the statements. That is why you don't see it. What it was is a small glossy 1/4 page insert with your statement showing how to redeem the offer. My statements closed on 11/9/2021 and there was in insert in there with the offer. I threw it out. I wish I saved it but since I had no use for it I just threw it out in the junk mail pile.

I just logged onto that Citi account and there is still a button to click on to still accept the offer. I will see if I can print it and upload it on here. I am not good with technology so I do not know how to do a screen shot and post it here either.. I just read it again, it is offering for me to select an amount, select a term of how many months and they will ACH the money to my checking account that I use to pay my Citi bill each month.

Thanks

Mark

Re: Citibank change of terms on balance transfers.

Anonymous — Mon, 29 Nov 2021 14:59:52 GMT

@Remedios wrote:
@Anonymous wrote:
@Benzman wrote:
Was talking to a few of my friends today and they mentioned to me that in their December statements, there was a notice about changing interest rates effective in January for new balance transfers whereas one rate is for transfers completed by Citi directly to the other bank, and a different rate if the individual requests a check or a direct deposit into ones own bank account. Has anyone else got this notice? I don't get my statements for a few more days, but it sounded a little strange to me.
I think you may be talking about the Citi Flex Loan offer. It expires on 12/27/2021 and allows you to choose your terms from anywhere from 12 months up until 36 months. The loan is considered a "cash advance" but carries a mid interest rate of somewhere around 9% to 15% based on your credit profile. There is no application you are automatically approved and it will post to your Citi Card as a cash advance with special terms and rates. It is then billed to your minimum monthly payment based on the amount and lenght of the loan you have chosen.

It is not being offered to everyone. Only to accounts with perfect payment histories and very low utilization on that card. I am sure there are other things they may be looking for prior to giving you an offer but I have no idea what they may be. If you want to see if you are being given this offer just log onto your Citi Card or Cards and there will be an automatic pop up with the offer if you are on their list to get such an offer. I did receive the offer and I carefully read through it but I have no need to borrow money so I just deleted it.
Thanks
Mark
Flex loan doesn't "expire" on 12/27.
If your offer says so, than maybe it does for you, but I have an offer, it's ongoing and there is no expiration date.
Also, I am not sure where did you get that APR range. It's profile dependent, and mine is 6.99%
Another thing, my terms are up to to 60 months, so again not sure where you are getting 36 months.
As far as deleting it, that's not possible.
You can delete email but you cannot remove it from your account.
If it was offered to you, it's still in your app/web interface, and those terms were specific to you.
One last point, when I got the offer my reported utilization was about 37% on DC. There is no metric by which that's ultra low.

Well it appears that the loans are based on your account history and CL. I was only offered 36 months @ 8.99% and $9,500. The CL on this account is $15,300 which I owe zero. There must be some kind of program in place so every customer is being offered something based on their criteria. You offer is better then mine hehehe. I still do not need the money so it is a mute point. They can offer me 2% for 10 years and I still do not want it.

Thanks

Mark