A Citibank class action lawsuit alleges that the bank deceived consumers by offering them frequent flyer miles for opening new accounts. According to the Citibank class Action lawsuit, Citibank sold these “free” frequent flyer tickets at high prices and urged consumers to purchase additional tickets after being told that they could receive “free” frequent flyer miles if they purchased their tickets with Citibank. The plaintiffs argue that the “free” miles were not free as advertised and did not have any significant monetary value. Furthermore, according to the Citibank complaint, many of the customers that received the “free” miles did not use the ticket as directed and ultimately lost money when traveling.
Citibank Class Action Lawsuit
Citibank is one of many banks that sell airline miles at extremely high points. The lawsuit states that a customer was given an agreement that indicated that he would receive a minimum of five thousand airline miles per year. However, when the customer went to use those miles he discovered that the value of the “airline miles” that he was being given was significantly less than the value of the airfare. Upon discovery of this fact, Citibank charged the customer for the full amount of the airline miles that he had been awarded. This case has been referred to as the “Citibank Cash for Airline Miles” Class Action Lawsuit.
Another Citibank Class Action lawsuit claims that the bank advertised and sold an overdraft fee credit card that consumers were not entitled to.
After discovering this situation, the bank changed the name of the product from its originally brand name” overdraft fees” to “checking account fees.” In order to sell this product, Citibank charged excessive fees and interest, which the class claimed was not due on the original account. This case is currently pending.
A third Citibank class action lawsuit involves the overdraft fees that the bank charged for its overdraft services.
After discovering that the overdraft fees were improperly being charged by the bank, this case was filed against Citibank. A settlement was reached with the help of the United States attorney general who ordered Citibank to cease the practice of charging these overdraft fees.
A fourth Citibank class action lawsuit refers to its marketing practices.
A number of advertisements were placed in magazines and other publications by the bank that touts its “lowest rates in the industry.” A substantial number of checks were returned because these advertisements did not accurately state or accurately represent the interest rate that the consumer would experience with its “lowest rates in the industry.” These advertisements were also found to be inaccurate when it came to the number of days that the consumer would have to pay for its overdraft fees. This case ultimately settled.
In all, Citibank has been involved in a number of class action lawsuits. These include a number of customer complaints about its service and policies, which in turn resulted in various class actions being filed against the bank. It is expected that more class actions will be filed in the future. Class action litigation is an efficient means of getting compensation for the harms that one experiences as a result of mismanagement by a company.
