Complain about a product or service

Advanta

Jesse of Middletown, NY November 4, 2009

I have used my Advanta business card for over a year for my small business. Recently the company closed all credit lines and with no notice increased my interest rates to above 30%. I made my payments at regular intervals and the same payment each time so without notice I had paid less than he amount due. I called to clarify the issue and was told I would receive paperwork to sign to reduce the interest but have yet to receive said paperwork. I was outraged by this and wanted answers and thus refused to pay until I received some sort of action at which time a report was sent out against my credit. When I asked a representative on the phone if having an interest rate above 25% in NY was illegal he responded with, "we are based out of Texas" How does the law account for such loopholes? and where is the fair and just action?!

Nate of Mesa, AZ October 27, 2009

I have (had) a credit score of 780, and never in my life missed a payment on a loan or credit card account. I have an Advanta account with a 4,000 balance on it. August of 2008, they increased my interest rate to 30.003% from 9.99% without notification of the increase. Like many people, I pay my account online and check my purchases online and nowhere on their website, without requesting a statement, can you see what your current interest rate is.

Fortunately, another card of mine had offered me a balance transfer offer that same month of the increase and I transferred the balance with no knowledge of the increase. Fast forward a few months and Advanta offers me a 6% balance transfer offer with no fees by email. With no knowledge of the rate increase, I transferred 4000 back onto my Advanta card.

Subsequently a few months after that they closed the accounts and in August of this year my payments on my balance transfer skyrocketed. Confused on what happened, I checked my paper statements for that month and I saw the 34% APR number. With the new interest rate and the payments, I couldn't afford to pay my account. I was in shock. After checking the current statement, I quickly went back and checked every paper statement until August of 2008 and that's when the rate originally increased.

I called up Advanta and spoke to a Brian recently with a thick indian accent, who informed me that I wasn't allowed to settle my account, and the only interest rate they could offer me was a 16.99% or credit counseling with an outside company that COULD settle or negotiate with them (Why can't I negotitate my own account, I AM THE ACCOUNT HOLDER AFTERALL), as well as notifying me that they had sent me a rate increase letter by certified mail in August of last year (Which they hadn't, but how do I prove a negative against them, I don't know?). I have saved every piece of paper that credit card companies have sent me, I have a filing cabinet full of these things. I plan on contacting my states attorney general's office and wish to find a way to get this company honest on their accounts.

Gary of Pipersville, PA October 26, 2009

Advanta Bank Corp closed all credit card accounts May 2009. I have been making regular payments and on time. The interest rate on my account is 16.99%. For the past 3 months my balance has reduced by 191.30 Aug, 189.00 Sept, and 187.55 in Oct. On each statement following a payment my interest charges and fees have gone up instead of down. With these 3 payments on principle of 567.85 a reasonable person would expect the interest charge to go down somewhat not increase. from August to Sept. the interest charge went up 4.40 and from Sept to Oct the interest charge and fee went up another 14.45. They tried to tell me it was due to the change in amount of days of the billing cycle. I don't buy that as a correct answer. Even if the amount of days in the billing cycle differ, somewhere it would show some type of decrease in the interest charges since the balance is now 576.85 lower than 3 months ago.

Buffy of Hartwell, GA October 23, 2009

opened up a business account with them. Now they are out of business and my account closed. this brings down my credt score and i need good credit for my business. my credit score has dropped.

Sherry of Ft Wayne, IN October 23, 2009

I closed my store front in Feb and informed Advanta that I was out of business and to close my account. I now work from home. Kept making my payments but like the rest of you got the increased interest rate. No longer could make the payments since I don't make enough to make the monthly payments.Even if I mailed what I could afford it would include monthly late fee's and interest. I am not like some people who are still in business to get money from another credit card to pay this one off. I do (did) have a good credit score.

I have decided to not make my payments which is something I have never done. I get calls from India about 5 times a day. I only pick up the phone about every 2 weeks. I will either have to file bankrupcy or wait for them to turn me into a collection agency and work for a settlement. If I could find a bank to lend to me. I have been depressed about the whole situation. I had about 26,000 in debt from my business and had planned to pay it off. Now I really don't care if Advanta gets a dime from me. May the owners get what they deserve.

James of Catlett , VA October 21, 2009

My company is financial distress so I am calling all my buisness creditors and trying to assure that I can keep paying on time, its that bad , I dont even have money to pay my taxes this year. I asked the gentlman if we could at least reduce the rate so I can assure that the payments are paid on time. I was given a number to a credit councelor. I am a buisness owner and dont need counseling . I explained to him that we are trying to reduce our rates with all creditors. we know what to do its just that Advanta does not want to hear it , Soon I will not be able to pay them. Also they are the only creditor that is not willing to talk to you. The conversation goes like this after you have explained your case , They say. You need to call this numberand talk to them , I ask who is this management, what can they do for me?.

Then Im told Just call this number We are instructed to give this number out to any one who needs assistance. Its not till you call the number that you find out that they had you call a credit counselor. There is also a web site I found if you go to advanta.com you will find a segment page thar has testimony after testimony about how their Advanta acc. was closed down as was mine,after which their rates were drastically raised. So not only did they shut down all of their buisness accounts they raised the rates after. We are a professional company Liscensed insured , small operation we are honest people trying to do the right thing. Is there any one out there that can help. Frustrated Ps.Our acc. has always been paid on time

Catherine of Jacksonville, FL October 21, 2009

I feel so badly for many of you! Your stories are so similar to mine and it is heart breaking. I am fortunate in the fact that I was able to pay my balance off in it's entirety when they closed my account. When setting up my new business, I took the time to research credit cards on various websites making sure that I would choose the card with the best reviews. Ironically on 3 different sites independant of each other, the Advanta card was rated most beneficial! Obviously they did not take into consideration things like POOR CUSTOMER SERVICE as well as loan sharking. or predatory practices!

On May 26th I received a letter informing me that they were closing my account as of June 1st. This left me with 4 days to scramble and make arrangements for my business purchases. As if I have time to read their wordy contract for a loop hole allowing them anything less than 30 days to close my account. Today I received a check as well for 26 and change. My letter also had the standard hold harmless paragraph when cashing the check. Keep in mind my account has been closed for 4+ months and was paid in full at that time. I am NOT going to cash this check! I feel certain that there will be a class action suit regarding their practices and predatory policies. Stand firm people!

Gary of Irvine, CA October 20, 2009

Never late but will not lower interest rate of about 30%. The would cash check and not credit acc. for 3-5 days later so you would be in default.

Patricia of Spring, TX October 17, 2009

They closed my account and raised my interest rate to an unfair 34.99% and now tell me because my account is closed, they cannot lower the interest rate. I have been an excellent customer and they even agreed with that on the phone. It will take an incredibly long time to pay this off since 2/3 of my payment goes to the finance charges. We are a one income family and it is hard to make the payments.

Tom of Kenmore, WA October 17, 2009

Advanta small business card. Started interest at 7.99% now over 23.% Never been late. Carry a balance of over 20,000. This is sickening. Please help.

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