Citibank Loan Ripoff!!!

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eyestar

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Hi!
I consolidated my med school loans with citibank (graduated in may 04, and consolidated in Nov 2004. I called citibank numerous times to ask about my loan consolidation app. which they said was all ok. I usually don't pay much details to paperwork and late in paying bills but i did my app. on time. All of a sudden, I looked at my loan statement and my interest rate was high? and I am thinking after you consolidate it shouldn't change?
I also foolishly decided to go into repayment after grace period ended with my intern salary?? Citibank told me now that since I was in repayment when they consolidated my app. ( they didn't process my loan app. on time) so interest rate was high?
And thenn they tell me that there is no way I can lower this interest rate (their website tells you that ONCE YOU MAKE 36 CONSECUTIVE PAYMENTS ON TIME, YOU GET A FULL 1% INTEREST REDUCTION AND THAT'S WHY I DECIDED TO START REPAYING )
tHEY Told me that I was late in making my first payment!! (I did not know that!!!! There was no late fee but i lost the full 1% interest reduction even if I make my next 36 payments on time.
I am doomed!!!
I think this whole process is a rip-off they delay processing the loan app, postal delay etc and then hit you with all this later!!!
Any body with loan experiences thru citibank?
 
When I was in the business world, Citibank was notorious for being full of **** and horrible to deal with. Although it's too late for you, I advise everyone else to stay away.
 
Lendors do their best to make sure that everybody is late for their first payment. It's a calculated move, and that's why only like 10% of people get those 1% reductions after 36 ontime payments.

It's important to know exactly when your first payment is due, and to actively pay it off ASAP.
 
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