Citibank (China) Co., Ltd. (hereinafter referred to as "Citibank China") issued an important notice on January 23 regarding Citibank's personal banking credit card business in mainland China. According to the notice, starting from May 6, 2024, Citibank China's personal credit card will cease trading functions and will no longer be able to be used for transaction purposes such as consumer payments. At the same time, the bank will gradually cease providing related product rights and services.
The notice also emphasizes that this change is part of Citigroup's withdrawal from personal banking business in the Chinese market, and Citigroup's corporate business in China will not be affected.
It is reported that Citigroup China has reached an agreement with Fubon Huayi Bank Limited ("Fubon Huayi Bank") to transfer to it the outstanding credit card installment repayment balance or outstanding amount ("Accounts Receivable Rights") that has not been settled since the cessation of Citigroup China's personal bank credit card repayment service. Subsequently, after the deadline of Citibank China's personal credit card repayment service, any outstanding credit card installment repayment balance or outstanding amount involved must be repaid to Fubon Huayi Bank after the agreed time ("delivery date").
Looking back, Citigroup announced a global strategic adjustment as early as April 2021, withdrawing from its personal banking business in more than ten markets, including mainland China. In December 2022, Citigroup announced that it will gradually shut down its personal banking business in mainland China, but it will not involve its market leading corporate business.
In October 2023, Citigroup announced the sale of its personal banking wealth management business in mainland China, including accounts, deposits, and related wealth management products held by individual customers, to HSBC China. HSBC plans to make an offer to employees within the scope of Citigroup China's personal banking wealth management business to join HSBC's mainland team. The total transaction amount of approximately 3.6 billion US dollars for personal deposits and personal wealth management assets will be completed in the first half of 2024.