In a significant legal resolution, Citibank has agreed to a $29.5 million settlement to resolve claims of unauthorized robocalls made to non-customers. These allegations arose from violations of the Telephone Consumer Protection Act (TCPA), a law designed to protect consumers from unsolicited communications. The lawsuit accuses Citibank of contacting individuals to settle overdue credit card balances without obtaining their prior consent.
The financial settlement provides eligible claimants with compensation ranging between $350 and $850, depending on the total number of claims submitted. The deadline to file claims is December 20, 2024, with a final court hearing scheduled for January 14, 2025, to determine the settlement’s approval.
This case serves as a reminder of the legal rights consumers have against unwanted robocalls and highlights the importance of holding corporations accountable for violating privacy laws. Below, we explore the TCPA, eligibility criteria, and how you can file your claim.
Understanding the TCPA and Citibank’s Alleged Violations
The Telephone Consumer Protection Act (TCPA), introduced in 1991, aims to shield individuals from intrusive telemarketing practices. The act prohibits companies from using automatic dialing systems to contact individuals without their explicit permission.
According to the lawsuit, Citibank violated this regulation by making robocalls to individuals who were not their customers. The purpose of these calls was to encourage payment of overdue credit card balances. Plaintiffs claim these calls were made without obtaining prior consent, constituting a breach of the TCPA.
While Citibank has not admitted to any wrongdoing, the bank chose to settle the lawsuit to avoid further legal costs and uncertainties associated with a trial. This decision benefits affected individuals by offering compensation while allowing Citibank to move past the legal dispute.
Eligibility Criteria: Are You a Class Member?
To determine your eligibility for compensation under this settlement, you must meet specific criteria. Here’s what you need to know:
- Timeframe: You must have received robocalls from Citibank between August 15, 2014, and July 31, 2024.
- Recipient Status: At the time of the call, you were not a Citibank customer.
- Nature of the Call: The automated calls must have been related to overdue credit card payments.
Clarifying Eligibility
The settlement exclusively applies to individuals who were contacted without their consent. Customers of Citibank or those who received calls for other purposes are not included in the settlement class.
If you meet the above requirements, you are entitled to file a claim and potentially receive financial compensation.
Citibank Class Action Settlement Compensation and Payouts
The total settlement amount of $29.5 million will be distributed among eligible claimants. However, the exact amount you may receive depends on several factors, including the number of valid claims submitted.
- Higher Number of Claims: Individual payouts may be closer to $350.
- Lower Number of Claims: Compensation could increase to as much as $850 per claimant.
The final distribution will be determined after the December 20, 2024 claims deadline. Following a January 14, 2025 approval hearing, funds will be disbursed to qualified individuals.
Steps to File a Claim for Citibank Settlement Payment
If you believe you qualify for compensation, follow these steps to submit your claim:
- Visit the designated Citibank TCPA settlement website to obtain the claim form.
- Fill in details such as your name, phone number, and mailing address.
- Submit evidence, such as phone records or call logs, to validate your claim.
- Review the form for accuracy and completeness before submission. Claims can be submitted electronically through the website.
- After submission, you’ll receive a confirmation notice. Keep this notice for reference and monitor the website for updates.
The deadline to file your claim is December 20, 2024. Claims submitted after this date will not be considered.
Post-Submission Process: What Happens Next?
Once the claim submission period closes, the court will review the settlement’s terms during the January 14, 2025 final approval hearing. Upon approval:
- Funds will be allocated from the $29.5 million settlement pool.
- Claimants will receive compensation based on the total number of valid claims.
If fewer claims are submitted, eligible individuals may receive higher payouts. Conversely, if the number of claimants exceeds expectations, the payout per individual may decrease proportionally.
Key Dates and Deadlines to Remember
| Event | Date |
|---|---|
| Claim Submission Deadline | December 20, 2024 |
| Final Approval Hearing | January 14, 2025 |
| Expected Fund Distribution | After final approval, mid-2025 |
Don’t Miss Your Chance to Claim
The Citibank class-action settlement offers affected individuals an opportunity to seek compensation for unsolicited robocalls. If you meet the eligibility criteria, ensure your claim is submitted before the December 20, 2024 deadline. Act now to secure your portion of the $29.5 million settlement fund and hold corporations accountable for unauthorized practices.
This settlement underscores the importance of consumer rights under the TCPA and serves as a reminder to remain vigilant against intrusive communications.