Citibank Unwanted Robocalls Settlement: $29.5M

All persons and entities throughout the United States (1) to whom Citibank, N.A. placed a call in connection with a past-due credit card account, (2) directed to a number assigned to a cellular telephone service, but not assigned to a current or former Citibank, N.A. customer or authorized user, (3) via its Aspect dialer and with an artificial or prerecorded voice, (4) from August 15, 2014 through July 31, 2024.

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Citibank has agreed to a $29.5 million settlement to resolve claims that it made unwanted robocalls regarding past-due credit card accounts to non-customers, allegedly violating the Telephone Consumer Protection Act (TCPA). The settlement covers individuals who received calls from Citibank between August 15, 2014, and July 31, 2024, featuring an artificial or prerecorded voice, despite not being Citibank customers.

Plaintiffs filed a class action lawsuit alleging that Citibank made illegal robocalls to non-customers’ cellular phones without prior express consent, which is required under the TCPA. The calls were related to past-due credit card accounts and made using an artificial or prerecorded voice. The TCPA allows for damages of $500 per violation and up to $1,500 for willful violations, but Citibank asserts that prior express consent, among other defenses, could affect the potential damages.

Citibank denies any wrongdoing or TCPA violations and claims that express consent was obtained for some calls. No court decision has been made on whether Citibank violated the TCPA

Under the settlement terms, a $29.5 million Settlement Fund will be established. It is estimated that each participating class member will receive between $350 and $850, although actual payments may vary based on the number of valid claims.

• Maximum Recovery: Participating class members are limited to $2,500 in compensation unless they provide documentation (e.g., telephone records, screenshots) proving receipt of more than five prerecorded calls. Additional compensation may be distributed on a pro rata basis from remaining funds if participating members reach the $2,500 cap.
  
  
• Additional Compensation: If class members provide evidence of receiving more than five calls, they may be eligible for a share of remaining funds after all claimants have received the $2,500 maximum.

Class members must submit a valid claim form by December 20, 2024.