Citibank: An excellent bank despite numerous fees
Written: May 20 '00
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Product Rating:
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Pros: Excellent customer service, numerous branches, excellent online banking
Cons: Fees for everything unless you maintain a high balance
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| garypai's Full Review: Citibank |
Unfortunately, Citibank and I recently parted ways. It was an amicable relationship while I was their customer, and an equally amicable breakup. Though I am currently a satisfied Chase customer, there are many aspects of the Citibank banking experience that I do regret leaving behind.
Fresh out of school, and starting anew in Manhattan, I could not help but notice two banks situated on what seemed like every block of city: Chase and Citibank. What mattered to me most (and still matters) was convenience and minimal fees. Learning how to be a prolific ATM user in college, I also realized that the only way to avoid ATM fees was to ensure that my bank would be located everywhere I went. As far as I was concerned, it was a toss-up between either of the banks. Since I was already a Citibank credit card customer, I decided to open up a Citibank checking account at a branch near my office. Another branch was also conveniently located near my apartment. I was introduced to three different types of general checking accounts.
(1) Basic Banking
· No minimum monthly balance.
· Monthly service charges: $3.00 for up to 8 checking transactions -or- $9.50 for more than 8 checking transactions (including ATM transactions).
· $1.00 for each non-Citibank ATM transaction (on top of what that bank charges).
· $0.50 for each check paid.
(2) EZ Checking
· No monthly fee if an average balance of at least $1,500 is maintained between checking, savings, IMMA, PMMA, and CD accounts.
· Unlimited Citibank ATM transactions.
· First five (5) non-Citibank ATM transactions are free; $1.00 for each additional transaction.
· First 10 checks are free; $1.00 for each additional transaction.
· If the average monthly balance between these eligible accounts fall below $1,500, a $7.50 service charge is assessed.
(3) The Citibank Account
· No monthly fee for an average monthly balance of at least $6,000.
· Unlimited fee-free checking.
· Unlimited ATM transactions at both Citibank and non-Citibank terminals.
· Penalties unknown, as I never used this service.
Starting out in the real world after years of negative cash flow in college, I selected the Basic Banking service, as start-up costs drained my resources such that I could not meet any minimum balances. However, after racking up tremendous service fees saving up a few paychecks, I was finally able to upgrade to the EZ Checking service. And in general, I found the terms of service to be acceptable, though given the bull market we were experiencing, it was hard to justify maintaining a $1,500 balance in an account accumulating no interest, while I could have money sitting in a brokerage account in the bull market. While I hated even the possibility of being charged for using my checking account, I realized that the terms of the EZ Checking account could adequately suit my financial lifestyle and habits.
In general, I was extremely satisfied as a Citibank customer. In fact, after reading numerous reviews about people's banking troubles, I wonder if there is something unique about my situation with Citibank, or if I am just not catching something as I had no nightmares about my experience with Citibank.
Part of my satisfaction came from the abundance of machines in the branches I used. In Manhattan, there are more ATM terminals in each Citibank branch than there are in other banks, which means shorter waits to process a transaction. As a point of reference, near my apartment, there are eight (8) machines in my local Citibank branch as compared to three (3) machines in my local Chase branch. These numbers hold true for the same banks near my office.
Furthermore, few commercial banks, if any, can boast the level of luxury that each Citibank branch affords. Most Manhattan banks are designed for functionality, as desks, service booths and ATM machines are stacked on top of each other in undersized commercial spaces. Citibank, on the other hand, breaks all of the rules and goes above the grade by offering a comfortable and luxurious atmosphere. Despite having more ATMs than most banks, each of these machines are well spaced out. The main chamber of the bank is well lit, tastefully decorated, and the desks of the bank representatives are very well spaced out. Whether this was designed by a feng-shui master or not, despite the short amount of time I actually spend in the non-ATM sections of their branches, I took notice and always felt that I was in a more upscale bank. And finally, Citibank's use of windows is excellent, not only letting in light, but also adding to the spacious feeling of each of their branches.
From a customer service standpoint, I have no major complaints. I have called Citibank on numerous occasions to perform tasks such as checking my balances, changing my banking plans, and asking general questions. My typical call to Citibank takes about 3 minutes to get through (including the automated menus). Dealing with their customer service representatives has never been a problem, as they are able to deal with most general issues quickly and efficiently. Furthermore, being a global bank, their ability to answer the phones 24/7 is great, as dealing with banking issues can be handled whenever it is convenient.
Despite courteous customer service, one thing I find disturbing about Citibank is that they only revere, and don't fear the customer. When I told Citibank via phone and snail mail about a free checking offer from Chase and how I was willing to switch banks because of this better deal, the Citibank representatives did nothing to keep me as a customer. They were very nice about saying, "Take it or leave it," and when I left, they made no attempt at retaining me. I realize that my small checking account made a miniscule dent in their huge financial empire, but I believe that I was not asking them for anything too outlandish that they could not bend the rules for just one customer. Furthermore, given that I was an excellent credit card customer, I thought that my business, no matter what size, would be more important to them. With this level of commitment to customer retention, it is no wonder that most of my friends are Chase customers.
One thing I really enjoy about Citibank banking is the ease of use of their online banking applications. Registering for online banking is simple, as it can all be performed online. Many other banks require a separate document containing your password to be mailed to your address, which I have recently found out, can be lost in the mail. While checking balances online is quickly becoming standard, I enjoyed the ease of paying my bills via electronic checks. For any vendors who had set up electronic transfers with Citibank, I could easily transfer funds directly to these companies, which took 2 days to process. This is ideal for people who like to wait until the last minute to pay bills, especially me. However, if a company is not set up with Citibank, then it takes approximately 7 to 10 days for the check to be sent. Considering that simply writing and mailing a check is processed much more quickly, it makes little sense to use online banking for these situations, except to save the cost of a stamp.
One of my favorite features of Citibank online banking is the ability to link Citibank credit cards to the checking account. Being a Citibank credit card holder, I could easily check my credit card and checking balances at the same time. Furthermore, I could transfer funds from my checking account to pay off my credit card balances, a transaction that occurs on the same day. However, setting up linked accounts is a little tedious, as it takes about two (2) days for Citibank to set it up after you send them an electronic request to do so. One other drawback to online banking is that Citibank does not publish their customer service phone number anywhere on the site.
Despite most of the positives associated with Citibank, there were some negatives as well. The first one is the process for setting up an account. To open an account, I needed a driver's license, social security card, another form of ID, as well as a phone bill being sent to my apartment to confirm my residency there. The first three items are typical documents carried on any person, however, the fourth requires a little more effort to acquire. For me, it was even more difficult, because I had just moved into my apartment, and therefore, did not have any correspondences to my apartment verifying my new address. The Citibank representative establishing my account, was so adamant about getting a phone record that he gave me one week to get a copy of a phone record from my parent's house (in another state) or else my account would be closed. I had thought that being a prior credit card customer would have been verification enough, but this inconvenience to me almost caused me to walk across the street to Chase and deposit my money there. I do not know why I did not do walk out then, but after I showed them my parents' phone bill a week later, my experience with Citibank proceeded smoothly.
Another disadvantage with using Citibank is that despite their numerous branches in Manhattan, there seem to be far more Chase branches, which makes Citibank a less convenient choice than Chase. In fact, in Grand Central Station, Chase has their ATM's set up on the main floor of this highly trafficked edifice, right next to the automatic ticketing machines. Citibank's ATM's are on the second floor of the station, and not in a prominent or convenient location. Another disadvantage with Citibank's ATM system is that their ATM card (known as a Citicard) can only be used as an ATM card. With more banks distributing checking cards, the limited use of the Citicard makes it feel a useless piece of plastic serving only to make the wallet fatter.
Overall, I was content as a Citibank customer and have no complaints about the bank that would cause me any enmity towards them. The reason I closed my account was because Chase offered me a better deal through their Workplace Financial Services program. I was able to get free checking with no minimum balance, something that Citibank was unwilling to offer me. At some point, I may return as a Citibank customer. For anybody in Manhattan who is willing to maintain a low interest (or no interest) minimum balance, then Citibank's convenience and courteous service is excellent and can be matched by few banks. For somebody just starting out in life and wants what little money he has to do something more than just sit around, I could not settle for Citibank's terms.
While no bank is perfect, I feel that Citibank can be considered a very good bank. From all of the nightmarish banking stories that are circulating, Citibank customers, both present and future, can be reassured that they are dealing with a bank that is committed to providing great customer service and a good banking experience.
Recommended:
Yes
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Epinions.com ID:
garypai
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Location: New York
Reviews written: 43
Trusted by: 119 members
About Me:
I enjoy dining out, going to shows, and enjoying all the city has to offer.
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