Does Citibank Offer Unsecured Debt Consolidation Loans?

by Gwynita Leggington; Updated September 26, 2017

So you want to consolidate your debts, but you’re not sure which lender to use. There are a variety of lenders to choose from, but not all financial institutions offer the same loan products. However, Citibank has a variety of loan programs available to suit their customer's needs. Read on to find out whether or not Citibank offers unsecured debt consolidation loans.

Types

Although Citibank offers a variety of loan programs for customers to choose from, this financial institution only offers one type of unsecured debt consolidation loan product -- an unsecured personal loan. According to Citibank, you can use the money from your unsecured personal loan to pay for any of your financial obligations, including consolidating your debts and paying off your bills. Citibank does have a home equity loan program as well, in which you can use the money to consolidate your debts. However, this type of loan is based on the amount of equity you have in your home and you must also use your home as collateral in order to secure the loan.

Requirements

Not everyone qualifies for an unsecured debt consolidation loan with Citibank. However, if you are interested in applying for an unsecured debt consolidation loan, then you must meet the following requirements before the bank will approve you for a loan: be at least 18 years of age; have a valid Social Security number; possess a current driver’s license or state identification card; have a physical address in the United States; and have good credit, a verifiable source of income and references.

Function

It is fairly easy to apply for an unsecured debt consolidation loan with Citibank. You can apply in person at a local Citibank Financial Center, online at Citibank’s Website or over the phone with a bank customer service representative. The application process is not difficult at all, and if approved, you can have your money in your hands in just a few days. In order to complete the application process, you will need to sign important documents stating that you agree to the terms, rates and repayment schedule for the loan. Fortunately, as soon as you receive your funds, you can immediately pay off all of your debts.

Benefits

There are several benefits for acquiring an unsecured debt consolidation loan from Citibank. First of all, an unsecured debt consolidation loan allows you to reduce your monthly bill payments, after you consolidate your debts. Secondly, you will only have one bill to pay instead of making multiple payments to creditors every month. In addition, Citibank offers a flexible repayment schedule along with fixed monthly payments; and you may even choose to have your monthly payments automatically debited from your Citibank deposit account. Lastly, Citibank does not require you to pay an application fee when you apply for a loan with it.

Warning

Keep in mind that if you are late with your monthly payments, or if you fail to repay your loan, Citibank may report this information to the three credit bureaus. Such negative information can greatly affect your credit score and make it difficult for you to obtain financing from another lender in the future. In addition, you may also have to pay late fees, collection costs and other penalties if you default on your loan with Citibank.

Resources

About the Author

Gwynita Leggington has written and published articles since 2006. Her areas of expertise include health and wellness, education, careers, personal finance and dating. Leggington's work appears on eHow.com, Answerbag.com and Essortment.com. She holds a Bachelor of Arts in communications and a Master of Arts in counseling from Prairie View A&M University.