Guys, When comes to selling their credit cards, these companies literally beg you to take one and only tell you the benefits you will get. They never tell you the penalties you are going to face if you miss to do a payment no matter how long you have been associated with them. Such type of conditions are mentioned somewhere in the corner of there websites and you miss to read them. I recently missed one payment and this is what I was charged:
1) Late payment fee - 600
2) S. Tax - 167.56
3) Interest charge - 555.55
TOTAL - 1323.11
My outstanding was only 10898.07 and I paid 1323.11 on top of this. This is 12.1% of my outstanding or in other words, an effective interest on missing the payment by few days. This is the return they have given me after years of loyalty with them. I dont know what is their strategy(may be they look for short term benefits by pulling the money out of their customer’s pockets like this) but eventually they are the losers as they loose their customers like this.
I am closing my account and have decided that I will never ever get associated with Citibank brand whether it is Credit card, Banking, Investments or anything. I will also discourage my friends and relatives as well.
So if you are taking a Citicard, please ensure that you read terms and conditions carefully