I was holding city bank credit cards from 1996 onwards. I was always prompt at my payments except couple of times I could not pay in time, but paid the late fees promptly. Finally, I closed my city bank visa card 3 years back during 2005 after paying complete outstanding. I sent the pieces of card along with a letter to their Chennai office. I have received a mail also confirming the same.
Then they started offering me life time free card etc etc. I went on refusing and did not accept. After a year they suddenly started sending a statement to pay some outstanding. I was surprised and called them up and explained them and also sent them copy of my letter sent earlier asking them to cancel the card. They just kept on sending mail every month adding some charges.
Today they have made it to Rs. 24, 000.00 and threatening me that they will initiate legal action against me.
I was also holding a Master Card. I took some loan 3 years back for 39 EMIs after closing my visa card. I have not done any other transaction from then other than paying back those loan EMIs. One of the EMI cheque was bounced during January 2007 because they deposited on 29th of the month where as the cheque date was 5th and dropped at their ATM on the same day of the month. By 20th I had also received a statement with payment credit. I argued on the same lines it is because of their delay to deposit it was bounced. in fact they had done it several times intentionally earlier by sending the cheque for clearance after 15 days of dropping the cheque at their ATM and collected late payment charges. This time I strongly protested and told them that I will not pay any cheque bouncing charges and late payment charges and will not make further payments. After 15days they sent a letter accepting their mistake. And then I started making my payments regularly.
The very next statement they charged again all the fees. When I enquired they said that they will reverse in the next statements. Now I have completed all 39 EMIs. Inspite of my requests and correspendance with them, they kept on adding late payment, overdue amount etc etc and made it to 33000. Now they are also threatening to initiate legal action against me.
I have not cared about their threats, I written them back I will also fight it out. I have all their mail correspondance on these issues. I have already shared that correspondance with 2 major banks of India. I want to send it to all banks, finance institutions and whoever is interested. That clearly shows how Citi Bank really works and extort money from public.
Visweswara