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How to Avoid Credit Card Minimum Annual Purchases Fees

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As we wrote about it last year, credit card issuers are instituting annual fees they are willing to refund if you make enough purchases in a year. The first issuer to start doing this is Citibank and recently sent notices out to cardholders about the $60 fee starting April 1st. If cardholders spend $2400 in a twelve month period, the fee will be waived. Consumerist has the full text of the letter cardholders received.

I received an email from a reader asking if I knew what she could do: “I am not sure if you have covered this topic but I got a letter in the mail from Citi cards that they are going to now charge $60 annual fee and that fees is apparently going to be waived at the end of the year if I make a tleast $2400 in a year in purchases. I have had this card for a couple years and used it once to do a balance transfer for 0%. I have a limit of $17,300.00 on this card. I am at a loss on what to do because I may not be able to make the $2400 in purchases because I use my high interest debit card for most of my purchases. My question is – if I were to close this account, how is that going to affect my credit? Will it? What are the factors I should consider before I close the account?”

If you think Citibank is alone in this, think again. Issuers are seeing many of their former revenue streams trimmed by the Credit CARD Act and they’re trying to find alternatives. I personally prefer something straightforward like this than something a little harder to understand plus it doesn’t appear everyone is receiving a similar notice, perhaps it’s just the low activity cards? Either way, we have a workaround. :)

If you close this account, it will lower your credit score a little bit since your credit utilization will go up but it’s better to do that than pay $60 unnecessarily. If you want to avoid closing it, here’s an alternative…

Buy Presidential Coins from U.S. Mint

I do have a better, albeit short term, solution – buy coins from the U.S. Mint. The US Mint has a $1 Coin Direct Ship Program where you can buy up to two boxes ($500 total) per each Presidential coin issue, with no limit on Native American designs. At the moment, there are enough coins on the site to satisfy the $2400 annual purchase requirement and shipping is free (when you add it to your cart, it will show $4.95 for shipping but that will drop to $0 at checkout)

You can buy these coins and deposit them at your bank. Minimum purchase requirement essentially avoided.

Personally, I’m all for more $1 coins entering circulation. A coin can survive twenty five years, according to the US Mint, and a paper bill survives less than two years. The more coins we have, the cheaper our currency will be and we all win.

{ 74 comments, please add your thoughts now! }

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74 Responses to “How to Avoid Credit Card Minimum Annual Purchases Fees”

  1. NateUVM says:

    One word of caution… Check with your bank to make sure that they will accept these coins for deposit. While they are legal tender, they DO take up a bit of space (and are heavy!), so the bank may or may not want to commit space in their vault for these coins.

    In the end, they’ll probably take them, but it’s better to check ahead and be sure, than to be stuck carrying around $2,500 in dollar coins!

  2. pmulroy says:

    Surprise! Congress makes it illegal for credit cards to make money off those using credit unwisely and credit card companies go after those who use credit cards properly! Thanks again congress!

  3. Chuck says:

    If/when I get one of those letters, I’ll just close the account. Unless it’s the Citi Forward, which I use a lot for the 5% restaurant cash back.

    I have too many cards right now, but no one has given me a good reason to close an account yet. They all have no fee, so it costs me nothing to keep them.

    • echidnina says:

      I agree. The day I get a letter like that about one of my cards is the day that card gets canceled.

      • zapeta says:

        Same here. I don’t have a Citi card but none of my cards have an annual fee. If my card issuers want to add one I’ll just cancel.

      • cubiclegeoff says:

        I agree. I’ll take the temporary hit on my credit, it’s better than paying for something that I can get free elsewhere at this point (and hopefully I will continue to be able to get free credit).

    • ziglet19 says:

      Yep, me too. I have no interest in paying an annual fee and am not willing to do so on any of my credit cards.

      • Soccer9040 says:

        Not all annual fees are bad. Once fee I happily pay each and every year is for my Chase Freedom Plus card. $30 a year gets me into the expanded rewards program. The difference in rewards earnings for me is probably $500 a year. So I pay $30 for the right to earn $500. Sometimes you need to spend a little to get a little.

  4. Don C says:

    I got my Citi card letter today. Charge $2,400 or get charged $60. Each year. I used this card for a balance transfer a few years ago and know it was a matter of time before I got something like this. First Bank of Omaha did this to me the very first month that I just paid off a long time running balance (0% interest of course!)

    I’m sure my credit score will go down a bit, but since I don’t think it’s worth it to keep it open any more. I could charge my car insurance to meet the minimum, but I like having all of my charges on one bill, my Chase card.

    Good bye Citi. Thanks for the business.

  5. Pete says:

    Please read the bolded text in this USMINT web page:

    http://catalog.usmint.gov/webapp/wcs/stores/servlet/CategoryDisplay?langId=-1&storeId=10001&catalogId=10001&identifier=8100

    The immediate bank deposit of $1 Coins ordered through this Program does not result in their introduction into circulation and, therefore, does not comply with the intended purpose of the Program.

    • Jim says:

      Yep, but it doesn’t say they forbid it.

      If nothing else, spend it at your leisure in cases you wouldn’t otherwise use a credit card or deposit it over time.

  6. Mike Lutter says:

    Nice financial hack! It’s a pretty smart trick
    BUT
    It’s a silly workaround though. If people tolerate these kind of abuses then the bank will never get the idea that they shouldn’t treat people that way. I suggest the better alternative is to write a politely worded letter spelling out why it’s outrageous to tack on a fee like that and that it has cost them a customer, you are closing your account. Shouldn’t take too terribly many of those for the bank to get the drift. And if they don’t, screw ‘em, there are plenty of other banks that would love your business without pulling shady stuff like that.

  7. BrianC says:

    This probably won’t work now, but first try reallocation of your credit line to another Citi card, or a conversion to another Citi card with no annual fee.

  8. saladdin says:

    Ok, why not pay the fee?

    We all have these types of extra cards with high limits just for the credit score bump. If closing these accounts drop your score so low that it costs you more in interest then there is no gain in closing the account.

    It’s paying $60 annual for a higher credit score and having an open credit line for emergencies.

    I’m not as outraged as most about this. I have been gaming these guys for years (just like you).

    saladdin

    • Jim says:

      I’m not outraged either and I think this is better than just canceling the card without consulting the cardholder. At least this lets the cardholder pick what they want to do, which I feel is fairer.

      • jsbrendog says:

        while i don’t agree with the random fee institution after having had the card for awhile already i DO agree with you that it is fair to give the consumer the decision on what to do.

        if there is full disclosure about these things then I can’t really get AS angry about all the bs, fees, and wrangling.

  9. James says:

    From the U.S. Mint Website:

    “The intended purpose of the Circulating $1 Coin Direct Ship Program is to make $1 Coins readily available to the public, at no additional cost, so they can be easily introduced into circulation—particularly by using them for retail transactions, vending, and mass transit. Increased circulation of $1 Coins saves the Nation money.

    The immediate bank deposit of $1 Coins ordered through this Program does not result in their introduction into circulation and, therefore, does not comply with the intended purpose of the Program.

    By clicking “Add to Cart” I agree that I understand, and will comply with, the intended purpose of the Program.”

    So if you order these coins and deposit them in the bank when you receive them, you are violating the agreement which allowed you to purchase the coins in the first place. I would not be surprised if banks begin to refuse taking the coins unless they’ve been removed from the original packaging and re-rolled.

    If you’re not going to legitimately use the coins for purchases and thus introduce them into circulation, then please don’t stick the U.S. Mint with a shipping fee for sending you a heavy box of metal. The government is poor enough as it is.

    • Jim says:

      I see your point (I didn’t see the note in the checkout part that said you agreed to follow the intended purpose), then I amend my original suggestion… buy the coins and spend them in the cases you wouldn’t otherwise use your credit card.

      In the end, coins they send to you are being entered into the system (regardless of what that statement says, I don’t know why depositing it “removes” it from circulation) much better than the Mint is doing right now. How many coins have you seen in the wild? Personally, I haven’t seen a single one.

      If the Mint truly wanted to avoid this practice, they would not let you pay with a credit card or they would be stronger in their language.

  10. Tim says:

    we just got one of these letters, too. I’ve been writing to Citi about it. I’m upset more by consumers not being upset by it and giving the industry a pass and rationalizing. I’ve posted about this on a few websites and the vast majority of responses are consistent with “the company needs to make money; why are you so upset about it, etc”. People should understand that without active dissent these things will become the norm, because people accept and rationalize. This is not right. Citi especially has made billions off of free taxpayer money, and they have the gall to say that they are going to charge annual fees b/c of higher operating expenses when they are getting tax payer money to operate for free? why reward Citi by transferring all your spending with them? they not only get a free $60 loan from you, they get all the merchant transaction costs, and you forgo rewards programs that might pay you more on your other card(s). it’s rewarding Citi’s bad behavior. Don’t do it, don’t justify it, and don’t rationalize it. You will see many more companies following suit if consumers accept the practice.

    yes, companies need to make money, but credit card companies are focusing on a poor business model which leveraged risk and incentivized risk. they are using fees and interest rate hikes not to mitigate risk or punish bad behavior like paying late, they are using them as a source of revenue. that is what got us in the credit problem to begin with.

    @Jim, although your suggestion is a clever twist to meet the $2400, it doesn’t address the real problem that the card is charging $60 annual fee. it legitimizes the annual fee and the more people accept it, the more citi and other companies will tack on an annual fee. consumers should be more upset about this than they are. just like the fee you have to pay to a mortgage lender in order for them to lend you money on top of the interest rate you pay them. somewhere the consumers accepted that and it became norm. the same for buying a car or a multitude of other things. not to mention that if you have a hiccup and somehow become late on that payment to repay at any time, you will not get the $60 back, and by the way you will be charged default interest rate and late fee to boot. the other more conceptual problem i have with your proposal is that the purpose of the program is to circulate $1 coins. buying then immediately transferring to a bank bypasses the intent of the program. Banks aren’t going to circulate all those coins. also, it costs tax payers money to operate this program (someone is paying shipping package, etc), and bypassing the “circulation” part defeats the purpose, thus a waste of tax payer money.

    to the reader asking the question: so long as your utilization is low without the citi credit line, you will get a minor hit on credit score for closing the account and for decreasing credit age/history. both will recover pretty quickly (6months-1yr) and shouldn’t affect you geting the best loan rate unless your credit score is borderline anyways. there is enough gap between credit score brackets to absorb something like this. if you are maxed out on your credit cards already, the reduction in credit score by closing the account won’t make a difference anyways. finally, you don’t need to really worry about your credit score anyways if you aren’t in the market for a loan. this won’t impact you getting a job, renting, or getting utilities unless either.

    i’ve asked Citi to not charge me the annual fee, but I doubt that they will listen unless they get more voiced opposition from consumers and consumer groups and/or consumers deciding to opt out. i’ll be shocked if Citi responds to not charging me, since the first response was a one sentence thing about charging the annual fee to dividend accounts, so I’m 99.9% positive we will be closing the Citi account.

    i think consumers should push for congress to say that credit scores cannot decrease because a consumer opted out of one of these wonderful deals to increase rates or charge fees by closing their account. i wish someone would have thought about it to include in the CARD Act.

    • saladdin says:

      Well, I don’t get why you’re so upset. It’s their product and they are choosing to charge a fee for their product. It’s your choice. Pay or don’t pay.

      What if they don’t try to make up for lost revenue? Will they ever get off the taxpayer money?

      The Car Guys took money also. Should they not be allowed to sell cars at a profit?

      saladdin

      • saladdin says:

        Forgot to add, the entire credit score thing is borderline massive pile of crap. I’m with you.

        The formula just determines so much for it to be a super secret double handshake enigma machine.

        saladdin

      • Tim says:

        @Saladdin, I don’t mind businesses making money, after all that is how our economy works. However, there are fundamental problems with the business model of generating income this way. This IS how the credit industry got into a credit crisis. increasing rates was a way of mitigating risk, and if the risk was too high that you could not charge enough interest to mitigate, then you didn’t issue credit. Fees use to be to punish bad behavior like being late (again risk mitigation) or limiting access (again risk mitigation). The business model turned to using interest rates and fees as a way to generate revenue. the problem with this is that instead of mitigating risk, you incentive taking more risk and issuing more credit than should be issued. Especially when you add it onto folks who are already unable to pay off the debt to begin with.

        Lending/credit is a social contract, because we the taxpayer provide banks and lenders access to our taxpayer money on the cheap so they can lend. So I completely disagree that it is their product.

        they make revenue by other means like increasing merchant transaction costs, which merchants can pass on to the consumer through increased prices. At least this stimulates the economy and flows the money across the economy. Charging tons of fees and interest rates on tapped out folks does nothing. either the consumer can’t pay the debt and we go back to a credit bankruptcy, or those who can will simply close their accounts.

        there are absolutely ridiculous fees for buying a car like dealer origination fee, the same goes for mortgages like lender origination fees. those things were accepted by the consumer and they became the norm and no one complains about it. they can sell a car all day long for a profit, but to tack on a extraneous fee that has nothing do with the car is completely ridiculous. i’m especially sensitive to the ridiculous notion that i have to pay someone money for them to consider lending me money, which they will in turn charge me to borrow that money. not only are we flipping the bill for the lender to provide credit to us by paying taxes, but we have to pay them to consider lending us the money they should lend us at a rate that mitigates risk already.

      • pmulroy says:

        I wish you had these same feelings about health care and health insurance…

      • cubiclegeoff says:

        I would generally agree except the consequences to the credit card holder are more than just having to pay $60 that they aren’t used to. If it was just a choice of paying $60 or canceling, than that would be fine. But To choose not to pay also causes a domino effect by hitting your credit score and causing you to pay more elsewhere. So you have two bad choices, either pay money or pay money, not exactly free market choice.

        Whereas for a car dealer, they make a profit by selling a car for more than they paid for it, and the person chooses to buy that car. They could choose to buy a different car or go somewhere else. Whether they choose to buy from a certain dealer or not does not have extraneous impacts beyond that purchase.

  11. billsnider says:

    Hi

    I have a VISA United frequent flyer card with Chase. A few years back they started to charge me $60 per year. I called two years ago to cancel. Chase told me they would wave the fee and change terms giving me one point for each $2 charged (previously it was one point for $1). I kept the card and use it as my secondary backup card. I now use a free MC card with rewards which does better for me.

    Bill Snider

  12. Shirley says:

    I have not yet heard of an annual fee for Discover Card. If they do start charging one I will probably keep it because all my online purchases (and several utility bills) are paid using their one-time online secure number.

    The peace of mind, in knowing that my card cannot be compromised with that system, is worth keeping the card.

  13. Is very important to help our readers understand the numbers.

    If you pay $ 60 on $ 1000.00 credit limit that is already 6% to add to your anual interest rate.

    So if ther charge you 18% you are paying 24% that is very expensive money.

    We need to learn how to pay 0 interest on our credit cards ideas please??

    and don’t tell me paying the balance in full.. that is an old answer that doesn’t work today…

    • Frugal says:

      Care to elaborate on the last sentence, why it does not work today

      “and don’t tell me paying the balance in full.. that is an old answer that doesn’t work today”

    • ziglet19 says:

      I don’t have any trouble paying off my balance in full – I simply don’t charge more than I know I have in my checking account (and earn some rewards at the same time).

      • Shirley says:

        Same here. By paying in full each month and using the rewards program, we pay no interest and have close to $600 credited to the account yearly. But we don’t buy more than we can afford and use it for everything we would have bought anyway using cash, etc.

      • echidnina says:

        Most definitely. Paying off the balance in full each month is the wise way to use credit cards.

      • As usual with me I didn’t put all the words needed. if you can pay the full amount is all good. But I was looking for answer for todays economy when people are not able to pay credit card in full. Becouse they don’t have enough money not becouse they are going to the mall.

        You, I and many other are in theese Money Blogs learning sharing. The fact we are where is a lot 90 % the rest they don’t even know they have a problem …

        but I’m realy looking for better answer than Sue Ozman or Dave Ramsey

    • Soccer9040 says:

      Whats wrong with paying your balance. Tons of people do it. Even the people with Debit cards effectively do it each and every month. Its because me (credit card user) and them (debit card users)spend less then what we make.

      You should try it sometime. Its great never having to pay finance charges.

  14. TJM says:

    Why on earth would you pay a fee like this? There are Soooo many cards out there that PAY YOU to use them. So what if your credit score drops a few points. Unless you are buying a house any time soon it’s not going to matter.

  15. Rosa Rugosa says:

    Our two major credit cards are tied to stores we do a lot of business with – Brooks Brothers Mastercard and LL Bean Visa. We like the rewards because we make a lot of purchases from them anyway. We always pay the balance in full each month. I’m thinking/hoping they won’t be quick to add annual fees because the cards encourage customer loyalty. I’d be interested in hearing what others think about whether this type of card will be less quick to charge annual fees.

  16. eric says:

    Personally I would cancel the card because I have a good enough history that it wouldn’t impact my credit score by that much. But so far I haven’t received anything from Citi and I have two cards with them.

    As for the Mint suggestion, I’m hearing rumors that some users are seeing the purchase show up as a cash advance on their statement, which of course entails a percentage fee and possible high interest charges. I can’t vouch for this but at least for me I wouldn’t want to find out.

  17. Tim says:

    @TJM, the more people accept the fee and rationalize it, the more it will become common place. Citi is the 3rd largest credit card issuer, and if people accept the annual fee, trust me, they will become increasingly prevalent, especially on rewards program cards.

    after getting a “thankyou for using our website” lame response from Citi, we closed the account.

    • saladdin says:

      Gyms have fees. Do we boycott them also?

      Why the hangup on cc annual dues? Where did all the open market people go?

      saladdin

      • Well, one difference is that the credit card companies are already making money off your business (the merchant fees).

        If the gym was also selling locker room videos of customers in various states of undress (a second revenue stream, much like CCs) would it still be OK for them to also charge a membership fee? :)

        I acknowledge the fact that this is not a straight apples-to-apples comparison – but it seemed like more fun this way.

      • W says:

        At least when I pay the fees at the gym I’m getting use of the gym facilities. Your analogy doesn’t work. Since I will never rack up $2,400 in charges (because I’m one of few Americans that is actually fiscally responsible) it’s like asking me to pay gym dues but never setting foot inside to use the facilities. It just doesn’t make sense to penalize those of us who use credit wisely. What the banks are now saying (besides “Wah, we aren’t making as much!) is it’s okay for us to wantonly spend money. They are putting pressure on people to spend. It’s either spend $2,400 or pay $60. Standing on principle, I’d rather cancel the card. I think it’s ridiculous that banks and other businesses who are crying that their profit margins are shrinking aren’t required to tighten their belt. When times are tough for me I have to. Why shouldn’t they? Fewer and less bonuses perhaps?

        • Soccer9040 says:

          How do you spend your money then? $2400 a year isnt that much. Thats $200 per month. Our normaly household spending is well over $1000 every month. I’m assuming you must be using your debit card or paying cash.

    • TJM says:

      Tim-

      I disagree. Citi is charging you to walk through the doors these days because they are a ward of the state and will do anything to try to make a buck. A place like Charles Schwab, for example, has a lot to lose if they screw you on their credit card. You may not only cancel your card but also take your brokerage business elsewhere. There are 2 rules to live by when it comes to credit cards:

      1.)NEVER EVER carry a balance
      2.)Use your card for EVERYTHING

  18. We leave in America What is free?
    just buy your groceries, gas, phone bill with the credit card. Keep the money in the saving account (with a 1% interest isa Joke but…) and when the due date comes pay it in full.

    If you expend less than $ 200 a month let me know how?

    it is call budget your expenses to pay your credit card. from the book eliminatedebt 101.

    even if you carry a balance you still will pay less interest, and you can budget to pay your minimum payments so you don’t have to worry about them. Is your expenses that are paying them.

  19. javi says:

    I have a rewards card and spending $200 a month is simple to do when you use it to pay for your utilities bills and groceries. I pay off my balance every month, so no interest is charged. Just plan on how to use your card more effectively.

  20. what? says:

    I can’t understand anything you wrote.

  21. SavingEverything says:

    Gosh, i cannot wait til we get our letters too. I agree with TIM. I disagree with Jim. People should not buy coins from US Mint; unless they intend to use it in circulation at retailers or use it for establishing a coin collection. If people do not write letters and call Citi CSR (or try to bypass Citi’s India CSR and get US CSR), then Citi will not only profit from you, the cardholder for the $60 annual fee, but they will also get their share of the 1.75-2.5% merchant transaction fees for any purchases you make using your citi credit card at businesses retailers. Citi is requiring $2400 spend per year or else get penalized with a $60 annual fee?!? That’s ridiculous, and will definitely force me to apply for a new credit card with a new bank issuer and take business away from Citi. TIM, can you please provide us with what addresses you are writing your letters to? Does anyone know who the Director or VP of Citibank Credit card division (or citi cardholders or Citi marketing credit cards)? SALADDIN, would you pay a $50 annual fee for having (and using) an ATM debit card for your free checking account?

    • saladdin says:

      I like ING. It has my checking, savings and sharebuilder (which I use a few times a year with free credits). I can transfer p2p (my girlfriend has the same set up) and between accounts instantly.

      To me that is worth $50 a year if that was the charge.

      saladdin

  22. I can see the perspective of the bank, but at the same time it sucks that she has been a cardholder for some time and they going to drop a fee like this on her. If I were her, I would probably just drop the card and forget about Citi.

  23. There are a lot of good cards out there with no annual fee if you credit is good.

    Also, many cards waive the first year fee and give you a lot of rewards points for the first purchase. You can then cancel after about 9 months. Obviously this is not great for your credit but if you are just thinking about rewards points, its not a bad deal.

  24. Tim says:

    @savingeverything: I did not send snail mail, I sent emails via secure email through the online account. Citi has interestingly cutoff my ability to send secure emails through my online account. So, I can no longer send a secure email to customer service, and would have to either call or snail mail correspondences now. I have now closed the account.

    @Saladdin and others: if it were merely about open market, i wouldn’t have an issue with it. There is a gross difference between paying a membership and an annual fee. I go back to the social contract which banks, who are funded by our taxpayer money (fend funds) and secured by our taxpayer money (fdic) in order to allow them to provide access to credit. This is not talking about TARP, govt holding equity stake in Citi, etc. This is talking about the basic free market apparatus.

    your focus on free market also implies that whatever the market will “tolerate” is what consumers are willing to pay for goods and services. My point is that annual fee to access credit should not be “tolerated”, otherwise, the consumer will find them the norm. Your free market take seems to indicate that the consumer should simply accept whatever the other side wants to come up with, and that consumers should not have some protections. Consumer protection is very important, because otherwise we wouldn’t have safety requirements, standards, or limits on what lenders can do to provide consumers access credit, which consumers are already making available to the lenders through their tax dollars.

    Again, for us we lose nothing by closing our Citi account. There are numerous people who would lose out more and cannot walk away from Citi so easily without paying a huge cost. I point this out, because unless consumers show a backlash against companies like Citi for charging consumers not only a cost to borrow money, but charging consumers money in order for them to consider borrowing them money that they will also charge, the consumer will automatically create a “tolerated” acceptance to higher costs and buy the argument that there is a “higher cost of operating”.

    Where is the higher cost of operating? These companies received free TARP money, they have virtually unlimited access to fed reserve funds at zero to near zero, they have access to reinvest free money in US treasuries, some like Citi have even more access to money since the US has taken a 30% equity stake (buying stocks is giving money to the company for free), all in the name of providing consumers access to credit. On top of all of this, they want to charge consumers extra for money consumers are providing them for nothing and giving at least a guaranteed 3.5% return on treasuries. Now convince why we should sit back and “tolerate” their actions?

  25. As the CARD Act takes effect next week, this is a question all of us, regardless of credit history, will unfortunately get quite used to answering in the coming years. But as with any annual fee, it’s simply up to the cardholder to determine if it’s worth paying or not.

    In this case, if it’s just a backup card and the person can afford to take a hit to their credit scores for awhile, then I agree – go ahead and close the account. That is, if Citi won’t offer a better deal to stick around.

    On the other hand, some people might find $60 a reasonable fee to keep a $17K credit line open and a higher CU ratio. It all depends on your perspective and financial goals.

    • Tim says:

      The point is we should not have to make a choice between decreasing our credit score versus an annual fee. Nor should we have to be involuntarily forced to use a card to a certain level in order to not be punished for using the card.

      I think people are putting too much weight on the CARD Act. It does very little and does not prevent new fees or prevents interest rate hikes.

      • saladdin says:

        Then exactly what should card’s do? Give us free cards, 0% APR and unlimited credit lines?

        saladdin

      • “The point is we should not have to make a choice between decreasing our credit score versus an annual fee.”

        I agree. When a consumer make a CHOICE to close an account, I don’t see why this should ding their credit score. Last year, my wife and I closed our HSBC CC account because of a lot of weird stuff (strange telemarketing calls, cards that weren’t activated when rep said they were, card with wrong name, getting the card fraud-block in the midst of a typical weekly shopping trip, etc). There were enoough problems to write 3 blog posts about it – and my site isn’t even a personal finance site …

        We paid every cent that we owed (on time, in full every month) and HSBC had absolutely no problem with us as a customer. So why should we get dinged from choosing to terminate this relationship and go with a company that would behave in a rational manner?

    • Soccer9040 says:

      All I’ve heard so far is Citi doing this. Has this happened to any other banks? I have Chase PNC/National City for my cards and I havnt heard anything. But I pay annual fees on both of my cards and am happy to do so. Maybe I’m not the customer who is being targeted.


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