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‘Systematic Error’ Drives Citigroup-Costco Email Flub

Citigroup reported another hiccup with its Costco Anywhere Visa cards on Friday.

Citigroup accidentally sent emails to some Costco costumers on Friday (Aug. 19) informing them that their membership with the wholesale club had expired and their cards were being canceled.

The only problem, according to Bloomberg, is that these were still active Costco members with memberships in good standing.

Citigroup said that the emails were only to a “small portion” of customers and that the emails were meant only for customers who had let their memberships lapse. Citigroup said it “promptly” alerted customers of the error and assured them that their accounts remained active.

“We apologize for any concern or inconvenience this may have caused, and please be assured your account has not been compromised,” Citigroup said in an email to cardholders of the Costco Anywhere Visa cards.

Since taking over the portfolio of Costco Anywhere Visa cards from American Express in June and inheriting the services 11 million customers, the New York-based bank has seen a bumpy transition, to say the least.

Business Insider reported that some members who received the emails on Friday received emails addressed to other people that contained the last four digits of other users’ account numbers.

Citigroup’s social media accounts have also been flooded with complaints since the switchover in June, with customers citing everything from lengthy hold times to try and get a customer service rep on the phone to trouble activating their accounts.

Although Citigroup is the world’s largest credit card lender, it has also ranked second-to-last on a J.D. Power survey of credit card customers’ consumer satisfaction four years in a row, according to Bloomberg.



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