Citigroup Inc has announced Tuesday the closure of 330 branches of US consumer finance business in its continuing campaign of company restructuring that would also lead to job separations of up to 600 employees across the 48 states.

Citigroup also said that the move is a precursor for the eventual sale of the US business unit and for the time being CitiFinancial would be divided into two divisions, with one part focusing on personal home equity and refinancing loans while the other offering loan modifications and restructuring.

The bank said that the US unit would be renamed once readjustments have all been completed and CitiFinancial chief executive Mary McDowell is optimistic that all the restructuring moves should crystallise the bank's operations for prospective buyers of the business.

Last year, Citigroup was divided into two entities, Citicorp and Citi Holdings, with the latter left to handle noncore, riskier assets that included mortgage-backed securities that eventually undermined the bank and other financial institutions.

During that same time too, CitiFinancial was placed under the wings of Citi Holdings, which has been placed on the market by its parent company with a value of $US547 billion or $A646.95 billion by the end of 2009, according to Citigroup chief executive Vikram Pandit.

During the height of the global financial crisis, Citigroup received $US45 billion or $A53.22 billion as government bailout money and then raised a total of $US20 billion or $A23.65 billion in December last year for repayment of the federal dole out that is part of the Troubled Asset Relief Program.