It’s always a good practice to call your credit card provider at least once every year to request that they lower your interest rate – especially if you have a record of timely payments.  At first they will likely resist, however, persistence can pay off.  But if you have any Citibank credit cards, listen up!

Last week Citi entered into a settlement agreement with the Bureau of Consumer Financial Protection for violating the Truth in Lending Act.  The Act requires credit-card issuers to review and reevaluate APRs at least once every six months and reduce them accordingly if the consumer has changed in certain ways, such as if their credit score has improved. The issuer must reduce the rate within 45 days of completing that evaluation.  Citi failed to do this for 1.75 million credit card accounts and will have to refund over $335 million to certain credit card account holders, resulting in an average refund of $190.00 per account holder.

To their credit, Citi identified and reported this violation to the Bureau of Consumer Financial Protection.  Citibank says those who are affected do not have to take any action – they will be automatically refunded.  The refund process has started and will continue through the end of the year.

Whether or not your credit card was issued by Citibank, periodically check the APR (annual percentage rate) and your credit score for opportunities to lower your interest rate.


“The heart of the discerning acquires knowledge, for the ears of the wise seek it out.”  Proverbs 18:15 (NIV)

In all you do…B. Lifted!

Gwen Franklin