Citi to Refund Additional $4.2 Million to Overcharged Consumers
Citi to Refund Additional $4.2 Million to Overcharged Consumers
(Bloomberg) -- Citigroup Inc. will refund an additional $4.2 million to some credit-card customers who were overcharged years ago.
The bank on Monday reached an agreement with attorneys general from Pennsylvania, Iowa, Massachusetts, New Jersey and North Carolina to refund the money to customers in those states. The refunds follow a 2018 settlement with the Consumer Financial Protection Bureau in which Citigroup agreed to repay $335 million after discovering it had improperly increased interest rates for some customers.
“While Citi denies violating the states’ consumer-protection laws, we are pleased to put this matter behind us,” the New York-based firm said in a statement. “The states will administer and distribute payments at their discretion.”
Pennsylvania Attorney General Josh Shapiro said his state led the latest settlement. Customers who meet certain criteria will receive a refund check to be sent in the middle of the year, according to a separate statement.
“Our office got back more than $1 million for those Pennsylvanians who were overcharged,” Shapiro said in the statement. “When banks step out of line, we will hold them accountable.”
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