... several 'anecdotal' sources have reported receiving notices that CitiGroup is unilaterally changing the terms of their lender agreements. Specifically, CitiGroup is re-instituting the practice of 'universal default' ... where a delinquency occurring in regard to ANY account will be used to trigger the imposition of very high 'default' interest rates on other accounts which are not in default. With CitiGroup now comprising about 1/3rd of all US consumer lending, and with that percentage likely to rise in the future as smaller competitors are not similarly bailed out, it would appear that if US consumers want credit in the future they will be forced to take it under such terms.



Reply With Quote

Bookmarks