CLOSE

The Matt Granite savings expert offers four ways to get rid of his credit card debt.

MILL VALLEY, CA – APRIL 13: A poster is displayed in front of a Citibank office on April 13, 2018 in Mill Valley, California. Citigroup has released better-than-expected results for the first quarter with a turnover of $ 18.872 billion, compared with $ 18.865 billion for analysts. (Photo: Justin Sullivan / Getty Images) [Source: Justin Sullivan, Getty Images]

Citigroup has agreed to repay $ 335 million to credit card customers who have paid more than $ 335 million. The Bureau of Consumer Financial Protection said Friday that banks had a legal obligation to review credit card accounts every six months. and to assess whether the factors that led to a rate increase had changed, and whether the account holders were eligible for a lower rate, better known as an APR.

Citi, according to the CFPB, was at fault for "failure to reevaluate and reduce annual percentage rates" for about 1.75 million consumer accounts under the new rules. The CFPB estimates that cardholders have paid more than $ 335 million in interest more than should have been required.

Citigroup, which performed an internal compliance review of its credit card pricing practices from "(Citigroup) promptly disclosed the irregularities and reassessment errors of the APR to the office early in the year. the year 2017, began to correct these irregularities. , voluntarily initiated the return process to affected consumers and implemented improvements to its compliance management systems, "notes the CFPB in its settlement document.

For more information: Do you have a summer job? 5 smart things to do with your earnings

For more information: LeBron James could hurt Cleveland restaurants, ticket sales departing

Pete the Planner: The evolution of personal finance advice depends on the people who care about it

In a statement, Citigroup apologizes to its customers and adds: "Since 2011, in accordance with the Z regulations has reviewed twice a year the US credit card accounts that have experienced an increase in interest rates to identify those eligible for a reduction

"Although Citi believed that its methodology was sound, affecting some credit card accounts, Citi quickly informed its regulators, revised its methodology, and conducted a thorough review that did not go unnoticed. revealed to no evidence of employee misconduct.

The bank said that about 90% of the rate savings were delivered and that it refunds for the rest "to 1.75 million credit card accounts. Refunds will be in average $ 190 and all payments should be completed by the end of the year, the bank said in a statement.

Citigroup did not admit or deny any results in fact or conclusions of law, the CFPB noted.

Read or share this story: https://usat.ly/2KhFECg