Advanta Credit Card Increase Finance Charge Philadelphia Pennsylvania

I had the same thing happen to me.. All of a sudden 35.5% out of the blue. I called and was told they have every right to do that and I agreed to that when I signed up for the card. I closed my account right away and refused to pay the extra charges for an outrageous interest amount that I did not agree to. They refused to put in writing how much extra fees and interest they were charging me and I finally settled the account.

So it looks like to me that they went and jacked up everyones interest rate and then closed the accounts so that nothing could be done and we would all be stuck paying the higher rate. Thieves!
Chalk it up to another BAIL OUT>

Is this company crumbling under the economy, and their genius plan was to make the customers bail them out? its criminal conduct.

All of you, need to go to their web site, on the front page it says its not operating anymore.

Is there any recourse for my company to get reimbursed for the money they've charged for their usurious rate hikes? We went from 7.9% to 35% in two months! I called their customer service multiple times over the past three weeks and they said there is nothing they can do to reduce the current rate back to the original or reimburse my company for the ill-gotten money.

Aside from paying the balance immediately and closing the account (which is already "closed" to any new purchases), what's the most effective way to handle this?

We would very much like to join the class action lawsuit against Advanta.

The concept of usury was voided out by a 1978 Supreme Court decision that created a loophole for any financial institution that incorporates in states like South Dakota or Delaware....Sadly, there is nothing illegal about what this firm has done...

I am filing a lawsuit this week against ADVANTAthrough McKee Law Office of Philadelphia. If you want to share your input, please reply. It is NOT a class action, but maybe the more the merrier, eh?

They are Scum.

Advanta did the same thing to me and an attorney in NY who is now putting together a class action lawsuit against Advanta. Please contact me at my e-mail if your interested in joining.

Regards,
D Carpenter

Advanta did the same thing to me and an attorney in NY who is now putting together a class action lawsuit against Advanta. Please contact me at my e-mail if your interested in joining.

Regards,
D Carpenter

Do not forget to write to your senators in IL (Durbin and Obama) as well. I wrote to Boxer and Feinstein in California.

Senator Boxer & Feinstein,

I am writing this email regarding your position on the CARD ACT, Credit card reform proposed by Senator Chris Dodd.

Chris Dodd proposed the CARD ACT 2008 which regulates credit card companies' ability to charge excessive interest rates, high fees, Prevents issuers from changing the terms of a credit card contract for the length of the card agreement (ban on unilateral changes to card agreements); Apply Interest Rate Increases Only to Future Debt, Prohibit Interest on Fees, Prevents credit card issuers from increasing interest rates on cardholders in good standing for reasons unrelated to the cardholder's behavior with respect to that card (universal default ban);Require Prompt and Fair Crediting of Cardholder Payments


ADVANTA CORP credit card raised my interest rate from 7.99% FIXED to 36.31% (LIBOR + 32.59). See below for response letter from Advanta Bank. When I called to find out why my interest had gone up so drastically they blamed it on the ECONOMY. What is worse is that there is no law to prevent the credit card companies from doing this to us (the consumer). ADVANTA Bank is a business credit card and their increase in interest rates is contributing to individuals and small businesses filing for bankruptcy and leaving others drowning in debt.

I have $38,000 in credit card debt with this Advanta bank. I have no money to close this account. Furthermore, there is no way I can make over $2,000 monthly payment ($1,200 interest only plus $800 principal) now. This sort of criminal act is putting my small business in big jeopardy, possibly out-of-business very soon.

This practice is unjust and unethical. We must have immediate laws to protect consumers from this kind of abuse.

How can you help me before Christmas?





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EMAIL RESPONSE FROM ADVANTA BANK


Dear Mr. Xxxxxxxxxx,

Thank you for contacting us about the terms of your Advanta account.

Your Advanta rates are based on a variety of factors including information about your Advanta account, such as credit line utilization and payment history and information we obtain from credit bureaus about your personal and business credit. The information we obtain from the credit bureaus can include your activity on any other accounts you may have including mortgages and other credit cards.

As a result of our review, your Annual Percentage Rate is now LIBOR + 32.59, currently 36.310%, for purchases and balance transfers. The cash and convenience check rate is now LIBOR + 32.59, currently 36.310%.

Our lending criteria are more conservative and may differ from other financial institutions. These changes do not mean you have bad credit. It means that based on our criteria, this is the APR (interest rate) we are able to offer for you to obtain credit from us with your business card account.

If you are having difficulty making your payments due to your interest rate please contact the National Foundation of Credit Counselors (NFCC) at 1-800-388-2227.

We appreciate the opportunity to serve you and your business needs. If you have any other questions or concerns, please feel free to contact our Customer Service Center. You can visit us online 24 hours a day at www.advanta.com or call us toll free at (800) 705-7255, Monday - Friday 8:00 am to 8:00 pm and Saturday 8:00 am to 5:00 pm Eastern Time.

Deborah Williams
Account Manager
Advanta