Give Now

Be wary of “add-on” credit card services

by Chuck Bentley August 5, 2015

By Chuck Bentley

Citigroup will issue refunds to 8.8 million consumers totaling $700 million for worthless add-on credit card products or services.

In one allegation, Citi telemarketers were said to have sold consumers identity theft protection services with a 30-day “free” trial, when no such free trial existed. Or they signed up consumers for an add-on service when it was ambiguous whether the consumer actually said they wanted it. In another situation, Citi sold credit-monitoring services when they weren’t performing such services at all or were not actively monitoring a consumer’s credit file with credit reporting bureaus.

be wary of credit card add on services

Citi also allegedly misled its customers by charging a $14.95 “expedited” payment fee to customers who made over-the-phone payments and did not tell consumers about no-fee options.

Nick Bourke, an expert at the Pew Charitable Trusts specializing in consumer lending issues said, “ Add-on services, for the most part, provide no benefit to consumers and people should be very careful to sign up for them.”

I wanted you to be aware of this because many of our largest banking and financial institutions have historically enjoyed reputations of integrity. Sadly, that is no longer the case. Be very skeptical of any phone solicitation trying to sell you services that may be available for free—or may be totally unnecessary.

Originally posted 8/5/2015.

Subscribe for Weekly Updates


Banner Blue Image
Are you ready for financial freedom?

Start with the Money Map, your guide to living in freedom with your finances.

Download Now
Component 30 – 1

Tell Us About you and Get Instant Access!

Christian Credit Counselors

Neile At Crownbusinesssummitt 22 1 E1672242745290 1024x987

Is credit card debt causing you stress and strain? Christian Credit Counselors would like to help!

Get Help