[MUSIC] Hi there, Mike with
Consumer Recovery Network, thanks for tuning in to
DebtBytes, our YouTube channel. Today I want to talk about
settling directly with a major creditor, I think the
third largest credit card issuer in the nation at the time
I’m recording this, which is Citibank. Citibank is much the same as all of the national banks
when it comes to negotiating. The time frames I talk
about it in other videos, about trying to work
directly with Citibank before they charge
off your account. You cannot call them and
settle while you’re current, you have to be behind. So obviously, there’s these elements to
settlement in general, pros and cons that apply with your
credit and things like that. But assuming that you’re
already at a place where you haven’t been able
to pay Citibank. Typically the best
deals are gonna come directly from Citibank as you
approach six months delinquent. So somewhere after that 150
day of nonpayment window. But Citibank has in the past
been a bank that I can kinda count on to send our early
offers, just mailed offers. And sometimes on the phone with
their collection efforts too after you pass 90 days late. And not just any offer,
cuz some banks will send out a pre-approved offer and
say, we’ll give you 30% off. Well, my targets in settling
with Citibank are usually between 30% and 40% and
sometimes even 25%. They, other than some of
the other larger banks, will send out a pre-approved
offer, from time to time, for the optimal amount of savings,
again, where I’ve just targeted. But right around 90 days, right after you pass
over that 90 day mark. So pay attention to those
because if they do come in, they’re usually as good
as they get those offers, anything around
a 25% to 40% mark. Definitely if you have
the opportunity to take those earlier than 150,
180 days, do it. Citibank is a issuer
of branded cards, they do a lot of servicing for
say Home Depot or your Shell gas station card, you’re
still dealing with Citibank. So, they are somebody that
might be involved in your life more than,
say your local credit union who doesn’t have those
branded types of cards. Sometimes, because
of the branding and sometimes with the way that they
kinda treat those accounts in a silo, compartmentalize them,
your targets for settlement will change. So we have all the comments
below available for you to interact with me and
get feedback and others about particular targets
on your Citibank account that you’re trying to negotiate and
settle. And it’s gonna change maybe with
some of the information that you provide on who you actually owe. Citibank, when you’re unable to
settle with them directly, and you have to deal with
a debt collector. We just came through a spat
of a couple of years where major credit card issuers were
not selling their debts off to debt buyers. Citibank continued to sell
some of their accounts, not all of them. But particularly like their
Sears account, they were still selling, that’s another
branded Citi servicing card. So you are definitely at the
time you’re watching this video, or at least at the time I’m
recording it, potentially gonna be dealing with debt
buyers after they charge off your account, that’s usually
at 180 days of nonpayment. So early out referral to
collection agencies all the norm, totally something that
you can expect from Citibank. Or, that they sold your account
off to a debt collector. Years and years ago, Citi used
to be the most aggressive debt collector to sue
through the courts. They didn’t sell off the rights
to a debt buyer who would sue, they would actually
sue themselves. That hasn’t been the case for several years now, it’s very
rare to see that happen. So, Citibank proper, placing
your account with an attorney, now look, these things ebb and
flow to the collection process. Banks do change and
adjust their policies and their different recovery goals. And usually they
recover the best return on unpaid debts
through the courts. So Citi could change
that in the future. But again, post in the comments
below about any concerns that you have negotiating with
your Citibank account. We have an entire series
about negotiating debt with your original creditor
on our YouTube channel, so make sure and tune into that. I also have a page up,
a very active page with ongoing discussion on
the consumerrecoverynetwork.com website where you
can participate and learn more from
others besides me. Thanks for tuning in,
see you on the next video [MUSIC]