A few months ago, I got three new prime cards including a Bank of America gold card. So I decided to close out my subprime Providian Visa and Mastercard accounts. I called and the woman asked why I wanted to close my accounts. I told her that I had prime cards and did not need subprime cards now. She says according to our records you have had the Visa card for 20 months and are entitled to 16.9% interest (currently it is 23.9%). I told her I was not interested and closed the account. I know that had I not closed the account or even called, they sure as heck would not have notified me that I was entitled to a 7% drop in interest rates. They would have let me continue on paying 23.9% I want to encourage everybody to contact Providian and see if you are entitled to a better rate than what they are currently offering.
I got the 16.99% rate from 23.99% just by asking and not saying I wanted to close my account. It can be done.
I opened my Providian account five years ago. I have a 10,500 credit limit with a grace period but cannot get them to reduce the APR below 19.8. Even if they gave me the 16.9 rate, I don't know if it would make much difference because it would still be my highest APR card. Every card on which I carry a balance is below 10%. Incidentally, I just received a call from Proviidan promoting a rewards program that costs $49 per year. It sounds alot like the one Nextcard has. Anyone else gotten a call like this? I didn't go for the deal since I don't charge much on this card.
I just spoke to a Providian rep- here's what I was told. Only retention (not a service rep, not a supervisor) can lower rates. The retention rep doesn't know what rate they can offer you until they start the closing process - when they ask you "why are you closing" they key in a reason code from a list. Based on that, plus your scores (internal and bureau), plus your charge volume, balances carries (overall profitability to the bank) the system comes up with an offer. -------------- Now, for my problem. I got the GetSmart gold ($2k @ 20.99 - YUK!), but I wanted the clear Visa (I know, it's only for the cool look-- AMEX, WHEN WILL MY BLUE BE TRANSLUCENT!). I got that card, too, but $1k at 23.99 (DOUBLE YUK!) I closed my Providian Gold ($3800 @ 16.9) last year because I have a ton of prime stuff- but I want a chip-Visa card, and it seems like Providian is the only one I'll be able to get (FUSA is a big fat NO and Fleet doesn't seem to want to transfer my MC to a V). They can't merge GetSmart and Providian cards - so I was told to call for retention and see what they could offer. I was also told that Providian (clear card + the other "sub-primes") is more flexible with rates. GetSmart (the new Aria) has three programs, where Providian has unlimitd programs.
