Citibank drops transaction fee for sending money online. (Marketing News).

In an apparent effort to increase its online payment business, Citibank has developed a new pricing structure that eliminates transaction fees for online fund transfers through its C2it payment service. Citibank says online auction users--among the system's most active users--wilt be particularly interested. Further, online auction sellers will earn an additional $5 for every new user they refer to C2it. By including the C2it logo on a for-sale item, the seller receives the bonus each time a buyer clicks on the logo and enrolls in C2it program. As consumers become more comfortable with online transactions, C2it believes they'll be more willing to try other forms of online transfers, says COO Antony Jenkins. "We believe C2it will become a preferred way of moving money from buyer to sellers, parents to children, or even from one account to another," he says. (See the feature "Click-Through Customers" in this issue.)