I have had a Shell Mastercard through Citibank for 2 years now. A few months ago they sent a letter saying that my very low interest rate would adjust to 15% higher soon, unless I opted out, which would cancel my account when my card expired. No big deal, I thought, since my card doesn't expire until 2011. I called and said, no thank you, I don't want my interest rate to go higher.
This week, I received another letter from them saying they reviewed my credit report and decided to cancel my account because I have "serious delinquencies." I was concerned, so I pulled my credit report. There are no current delinquencies (the most recent negative was more than two years ago), and it doesn't even show an inquiry from Citibank. Hmm. Anyone else thing the real reason is my refusal to let my rate adjust?
I tried calling them, but could tell the agent was reading a script telling me the same thing the letter told me. SO helpful!
The same thing happened last year with a Sears card I had that was through Citibank. My account was in good standing and I had no recent negative marks on my credit. Then one day I received a letter in the mail saying they had decided to close my account.
I was angry, but now I am just frustrated. The account was going to close in less than two years anyway, and we are trying to pay down balances and make no new charges. We are working hard to reduce our spending, get out of debt, and improve our credit scores. We have not been late on any payments in over two years. This is like a slap in the face from Citibank saying, "Who cares. We don't want good customers like you unless you want to pay our exorbitant rates." After this experience, I will never use Citibank again.