McGill

FACTS AND PROCEDURAL HISTORY

Citibank is a national banking association that offers consumers a variety of financial services, including credit card accounts and credit insurance plans. Under its “Credit Protector” plan, Citibank defers or credits certain amounts on a consumer’s Citibank credit card account when one or more qualifying events occur, such as long-term disability, unemployment, divorce, military service, and hospitalization.

3 Citibank charges consumers who purchase the Credit Protector plan a monthly premium based on the consumer’s credit card balance. McGill opened a Citibank credit card account and purchased the Credit Protector plan. The operative “Citibank Card Agreement” (Agreement) when McGill opened her account did not include an arbitration provision. Citibank, however, later sent McGill a “Notice of Change in Terms Regarding Binding Arbitration to Your Citibank Card Agreement” (Change in Terms Notice) that amended the Agreement to add an arbitration provision. The provision stated, “Either you or we may, without the other’s consent, elect mandatory, binding arbitration for any claim, dispute, or controversy between you and us (called ‘Claims’).” The…