Complain about a product or service

Providian

Providian • Advance Fees • Credit Repair • Destinations Unlimited • Disputed Charges • Interest Rates • Late Posting • Late Refunds • Late Statements • Promotional Rates • Credit Protection • Unauthorized Balance Transfers --- News • WaMu Buys Providian • $300 Million Providian Settlement • Providian Chairman Out, Stock Tanks • Providian Settles Class-Action Suits

Providian made its money the good old-fashioned way -- on the backs of the working poor. It built its business on what is called the "subpar" segment of the market, customers whose credit records have a few blemishes.

Only problem is, the losses outran the sky-high fees and soaring interest rates and the house of cards came tumbling down in October 2001 and by mid-2005, Providian had been acquired by the nation's largest savings and loan, Washington Mutual.

But from what customers tell us, things haven't changed much at Providian, as the complaints in this section demonstrate. Here are a few of the more recent beefs ...

Fred of Sylmar, CA December 31, 2008

Fred of Sylmar CA (12/31/08)
Twice in three months I have not recieved a statement for my credit card, and then get charged a late fee of 39. the first charged was waived. The only way I found out that I was late was when my card was rejected at a store. I have always paid when my statements arrive, I also reported this to the local Post Office

I was humilated at the store and charged a late fee of 39.

Laura of Gillespie, IL December 21, 2008

Laura of Gillespie IL (12/21/08)
I have had no active credit cards for over two years. I only had a few and I paid them off, and closed the accounts, because I was returning to school and opted for loans instead of credit especially from Providian. I had a good credit line but rarely charged one fourth of what I was allowed. Although I did get behind a couple of times on my monthly payment, I was always able to pay off the entire balance in a month or two. I am not a big fan of using credit cards but I had two major ones. One I used for on-line purchases only and the other for larger ticket items to build up my credit. However, since my interest rate jumped to about 27% after a late fee, it was in my best interest to charge big ticket items and then pay the whole amount of within a few months. I had a great job and was able to do this.

I quit my job and went back to school. Because my economic status was changing I opted to pay off my cards and utilize student loans for my finances. For the last two years I have had no credit cards. Then in October of 2008, I get a call from a collection agency representing WaMu. Initially this threw me quite off because my account was with Providian and I closed out months before WaMu took on their debt. I was not aware that Providian no longer existed! Furthermore, I thought that, since I have been recieving applications from WaMu almost monthly for the last year or so (I still have those too!) I thought this was a case of application fraud via stolen mail. To my surprise, they were calling in regards to my Providian account that has been innactive and closed for over two years!

When I explained that I have not received any communication from Providian, or a collection agency representing them or WaMu, since closing out my account I had no reason to think that I owe any money to them. The agent said that they had been trying to get ahold of me for weeks, which is either a lie or half truth that never amounted to a message on my answering machine. By this point I am getting pretty impatient with the absurdity of the whole thing that it starts to feel like a scam. Did the agent want me to pay the balance by check over the phone? (It actually reminded me of the commercials where people send off their gold to complete strangers...) I told the agent that there was no way in that I owed money and asked why after two years are they going after ..what is the amount I am said to owe? He said 245 dollars... and some change, and then turned on me and said, I thought you said you didn't owe any money He was trying to turn my question about the amount into a statement of admittance.

I was getting pretty upset and said that it seemed a bit funny for WaMu to come after a chump-change claim in comparison to what one would expect a bill to be after 2 years! More like thousands of dollars than hundreds of dollars. I asked the agent what my options were besides paying the amount over the phone. He said that they would send out a package to be sent back to them with proof that I terminated and payed off my credit card. I said fine, whatever.

as of last week I had still not received an envelope and thought that I just may have survived a scam. He was unable to give me any info whatsoever regarding my account but wanted me to hand over all of my info. no questions! Then I get a call from another agent following up on the matter. I told her due to the circumastances of the bank, vagueness of my still existing account, along with the card application traps (to reactivate my account perhaps)and the fact that I had yet to recieve any envelope from a collection agency, I told her that I was (am) convinced it's a scam one way or the other. I told her to send me out another envelope and I will get together the necessary forms.

Now I know that I need to get ahold of them and request they send me a verification of my debt in writing. Under the Fair Debt Collection Practices Act did they need to make the envelope/package available to me in a timely manner (5 days I think) after I was notified. It has been a week and a half since my second phone call and no envelope. This is a very serious matter that that has become so ridiculous it's scarry.

I have jsut learned about this new course of action I should take and am not going to send them any info. until I receive verification of my debts in writing.

Rony of Davenport, FL October 20, 2008

Rony of Davenport FL (10/20/08)
The Bank Porvidian put me a order of icome execution : an account of the year 2000 that do not my, In this year i had a report of theft of My Documents, i talk with the Agency collects charge i send by fax my ID but then they tell me that i have to talk to the Bank providian which is now WA MU i call to the bank but i do not answer anyone,STILL TAKE 10% OF SALARY A WEEK,PLEASE SOMEONE TO HELP I HAVE TO TALK ABOUT AGENCY.

TERRIBLE

Ronald of Fouke, AR September 29, 2008

Ronald of Fouke AR (09/29/08)
I have fallin on hard times but they will not help me. I have ask them to help me by lowering the interest or what can they do to help me so I can pay the bill not trying to get out of it. all they is pay the bill and call and call

Juella of Marysville, CA August 19, 2008

Juella of Marysville CA (08/19/08)
I closed my account being they jumped my APR up to 31%, then I just so happen was late with my payment of 69.00 the told me I owed the payment plus another payment and 2 late fees of 39.00 each and the minimum payment is 205.00, I had called and one of their supervisors had told me they would take off the late fee of 39.00 and just go ahead and make the monthly payment of 69.00

so now it is way out of my range and what do u do @ this rate u will never get it paid off. my card is without being used maxed out @ 2000.00 and now is @ 2085.00.

stressed being I have always paid this credit card on time and now this is happening after working so hard to get my credit up to being good....

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