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Information About CitiBank

Citigroup is the parent company of CitiBank and CitiMortgage divisions. Citi serves both corporate and individuals around the world, providing them with a complete array of financial services. CitiBank conducts worldwide operations from various offices located around the world. Their headquarters is based in New York City.

In addition to standard banking services, Citi also offers services related to wealth management and investment banking. CitiBank was known as “City Bank of New York” when it began its operations in New York in 1812. Since its inception, Citi has always been a pioneer in introducing innovative services to its banking customers. They were actually the first major bank to give compound interest on savings accounts. Even in consumer space, Citi began to offer unsecured personal loans with no collateral requirement as early as 1928. Their innovative streak saw them introduce checking accounts and certificate of deposit (CD) in later years.

CitiMortgage is the residential financing division of CitiBank. Citicorp and Travelers Group merged in 1998 in a $140 billion transaction that lead to the creation of a global financial conglomerate with significant interests in banking, insurance and wealth management. At the time of their merger, the combined entity had about 375,000 employees in more than 120 countries. It was by far the biggest bank in terms of revenues and employees.

CitiMortgage used to primarily originate the residential loans it funds through their wholesale channel. Mortgage brokers, correspondent lenders and small banks were their primary loan originators. The financial crisis of 2008 severely affected the consumer home loans division due to the shutdown of secondary markets for trading mortgage backed securities. This can be considered to be the most turbulent period in the long history of CitiBank. The severe consequences of the financial crisis still linger on the books of the bank.