Providian smart card offer

Discussion in 'Credit Talk' started by jonesing, May 19, 2001.

  1. jonesing

    jonesing Well-Known Member

    My gf got an offer for the Providian smart (clear) card in the mail yesterday. Her profile isn't worth mentioning because she has no open tradelines and the 3 or 4 accounts she used to have are all being handled by a CCC type company. She hasn't added any new, positive information or accounts in over 3-4 years. So, based on that I was excited for her because this would be a great opportunity for her to start rebuilding. And then she says "I don't need this thing! My credit is just fine...I'm throwing it away!" So of course my head explodes at the irony of the situation: here I and several other members on this board who have outstanding performance with one or more Providian accounts and would love to get the clear card--but can't because we already have Providian accounts....and she wants to just toss hers away because she doesn't see the need to start rebuilding now. She objected to the high interest rate and figured next year she can just get one of those 1.9% cards that are out there...

    Anyway, the terms of her offer are:
    APR 23.99%
    default rate (miss 2 payments) : 27.99%
    credit limit: $250-$1,000
    annual fee: $0
    overlimit: $29
    late fee: $29

    cash advance limit: 50% of limit for first 6 months

    credit limit increase after 4 months and periodically after that: $29-$99 fee may apply

    plus, they are classifying this as a gold card level account and it comes with the ususal gold card perks--car rental insurance, lost luggage help, flight insurance etc etc
  2. DaveLV

    DaveLV Well-Known Member

    That's interesting because you answered two questions I had about this card. I wanted to know if it was always prime (with those terms it looks like it isn't), and I wanted to know if they had classic, gold and platinum "clear" cards because if I do eventually get them to switch me I don't want to loose my gold status.

    Thanks for posting that!
  3. judyputy

    judyputy Well-Known Member


    Others might not agree with me, but I will let you and your girlfriend in on something. I have 2 friends who have used those "CCC" companies. One is in CCCS now and another used a different service and finished about 9 months ago. I have always heard that consumer credit companies are treated in almost the same respect as filing bankruptcy. Going to CCC companies still means that you got in over your head, and got out by paying less than you owed. RE: fees, and interest.

    Most of the companies that she has applied to for new cards have treated her like she filed the big "B". Most won't give her the time of day. She has been able to get one secured card with a high rate.

    Your girlfriend might find that she has a tough time getting someone to approve her for a teaser rate 1.9% something card. I could be wrong. But I have 2 examples first hand that say otherwise.
  4. Shantel

    Shantel Well-Known Member

    You might have something there. But let me tell you, I was in a CCCS program and yes, while I was in it, I was avoided like the plague. However, once I finished the program, all notation that I was ever in a CCCS program was removed from each and every account (unlike a BK that stays...PERIOD).

    She'll probably have to have the notations removed from her CRs and stay away from those creditors (although, Retailers National reopened my account. No one else did though)....but 1.9 next year? Uh, doubt it. JMHO
  5. jonesing

    jonesing Well-Known Member

    From the brochure they sent her:
    Nine Clear Reasons to Get the Providian VISA with a Smart Chip!
    1. Up to $1,000 credit
    2. No annual fee (Getting started is easy. There is no savings deposit, no processing fee, and no annual fee!)
    3. Build your credit history
    4. Earn more credit
    5. Smart chip
    6. Accepted worldwide
    7. $0 liability online and offline
    8. Gold card benefits (Enjoy all the shopping and travel benefits you'd expect from a VISA Gold no extra cost)
    9. You choose how to reply (Just send us your Priority Reply Form or give us a call at 1-800-810-3959)
  6. jonesing

    jonesing Well-Known Member

    judy & shantel--

    thanks for your info...I knew that CCCS wasn't always a good idea--and it's true for the company she's with. It's not the real CCCS but one of those companies you see with banner ads or hear on newsradio. Anyway she hasn't had good results IMHO with them. Sure she sends them one check but they never gave her a plan as to how long it would take to clear the debts, they only send a statement once a quarter, and they didn't get all her accounts (namely Sears) to waive/halt their fees. From reading these posts over the last several months, I really think she could do better on her own...but that's not going to happen.
  7. Linda

    Linda Well-Known Member

    I received a Providian smart card offer in the mail last week though not as good of an offer as the one you describe. The offer I received is as follows:
    1. $300 credit limit
    2. $59 annual fee (There is no savings deposit or processing fee.)
    3. Build your credit history
    4. Earn more credit
    5. Smart chip
    6. Accepted worldwide
    7. $0 liability online and offline
    8. Gold card benefits (Shopping and travel benefits you'd expect from a VISA Gold card, and Purchase Insurance and Extended Warranty)
    9. You choose how to reply (Send in the Priority Reply form or call 1-800-665-7232)
    I phoned in my order last Friday and found out via their automated status request line that they approved me today! I think the only reason they did is because 1/2 to 2/3 of each of my three credit reports are currently in dispute status. This is my first major credit card in nearly 5 years so I'm happy.
  8. dlo64

    dlo64 Well-Known Member

    I also received the same offer a couple of weeks ago. I was deciding what to do with it because my BK was recently discharged in 11/00. I have an unsecured FCNB MC that I have received just after discharge and a Visa I kept from prior to BK. The only difference in my offer is that my non-standard APR would be 25.99%. On the reverse it states that Providian may check credit and also may request credit reports in connection with the application. Then further down in the "Terms and Conditions" it states that "You received this offer because a credit report obtained from a consumer reporting agency showed that you met our credit requirements." Yet it is not a pre-approved offer of credit, but states that I've earned the opportunity for a new Providian Visa.

    This brings up a couple of issues. Is this a pre-approval? They say Providian may request credit reports in connection with the application and also states that I received the offer because they obtained a credit report showing that I met their guidelines. Did they or did they not already pull a credit report? (I know I can verify on a consumer disclosure.) Also, I did not give Providian permission to review a report on me. Or is it a report obtained by someone else I did give permission to that sold their copy to Providian? In reading this further it also states that if I do not meet their requirements, Providian may not extend credit to me. First I met their requirements, now I may not. What's up with that? This all sounds so contridictory.

    What are the chances of my getting this card? I also think that they may be misleading consumers into thinking this is a "Gold" card. I too thought that might be the case until I read their info again. The offer I received states "You can clearly enjoy smart chip advantages and Gold card benefits at no extra cost." It no where on their offer (at least the one I received) does it state they are offering a "Gold" card. They only thing it states is that the card is clear and it has a smart chip. I have read a lot of negative posts on this board regarding Providian. This makes me wonder if I should not go with my first instinct and discard this offer. Maybe I am just reading too much into this. Any thoughts?
  9. jonesing

    jonesing Well-Known Member

    Well "Gold" doesn't really mean what it used to anymore...I think Platinum/Titanium now is what Gold was about 5-10 years ago. Also, the "metal" doesn't really mean much now--look at FirstUSA, CapOne etc with all their gold and plat cards that aren't that color...

    As for the reports, you were pre-screened meaning Providian probably gave a criteria list to one or more of the CRAs and asked for a list of people who met that profile (eg FICO score 500-650, 3+ trade lines, 1+ trades with 24+ months positive status, lives in xyz area etc etc). If the CRAs match you to that basic profile, then they give your basic info to Providian. (That's the promo inquiry on your report. And they don't need your permission to do it.) Now depending on how fine-tuned their criteria list was, the people who get the offer will probably get the card if they apply but there may be some other things. For example, if you're on Providian's internal blacklist for having a charge-off, you won't get it...or maybe you already have a Providian card but they didn't tell the CRA to exclude anyone with Providian on their report. Chaances are that if your profile is the same or improved since they got your info then you'll get the card.
  10. dlo64

    dlo64 Well-Known Member

    Yes, I understand the pre-screening process and the promotional inquiries, list selling, etc. However, the wording in their disclosure says that a "credit report obtained by a consumer reporting agency." To me when I see credit report, I assume it is an actual credit report. I did notice in the first paragraph it also indicates Providian obtained a pre-qualifying report. Okay a pre-qualifying report does not send up red flags. However, maybe they ought to use the same wording (pre-qualifying report instead of credit report) in the paragraph inside of the box further down the disclosure.

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