Citibank takes back no-fee promise
Citibank’s website is currently promoting Ready Credit with a six-month introductory interest rate, and no application, monthly or transaction fees. Customers can transfer up to $25,000 of their credit balances and only “pay interest on what you use”. Customers who responded to a similar promotion late last year, offering a lifetime rate of 4.9 per cent on transfers and a standard rate of 15.49 per cent, are now being stung for fees. The small print of the terms and conditions said: “No fees apply to balance transfer transactions.” On 31 October Citibank informed customers that the standard rate for Ready Credit was cut to 12.99 per cent while on 30 November a credit facility fee of $160 would be imposed. The fee is waived if $1,000 is spent between now and Christmas plus there is $20 cash back for every $500 spent by the year-end.