Advanta bankExcess interest charged

A
This review was posted by
a verified customer
Verified customer

Instead of the 0.69 rate offer, they charged 34% annual interest! This happened on two balance transfers months apart. Seems like a scam. After lots of waiting, they will correct the mistake, but the overcharge shouldn't happen to begin with.

Responses

  • Ty
    tye Aug 17, 2016
    This comment was posted by
    a verified customer
    Verified customer

    Advanta card raised my rate from 10.99% to 30.00% without warning. I called to find out why.
    They had no reason. My account is current and always paid ahead of schedule. This is scamming
    and they should be investigated for this practice.
    This must be illegal.

    0 Votes
  • Ho
    homesower Aug 17, 2016

    Advanta is very professional. They are thieves, but they are very proficient and well organized. They will sign you up for a credit card, but if you ever show signs that you can't pay off a balance (such as by making payments near the minimum) they will jack the rates to 36% or more, figuring you won't be able to pay them off.

    Never go near them. They are radioactive. They will drive you into bankruptcy and enjoy the process.

    0 Votes
  • Ca
    Cary Black Aug 17, 2016
    This comment was posted by
    a verified customer
    Verified customer

    I am a small business owner who was also a victim of Advanta. I am working with a group of individuals and a lawyer in New York in setting up a class action lawsuit against Advanta for unethical business practices. If you like to join our ranks, please contact me at:

    [email protected]

    Cary

    -1 Votes
  • Mike and Toni Aug 17, 2016

    Discovered yesterday that our percentage rate has been jacked up to 32% and we have been paying this rate now for over a year. I contacted the BBB and discovered they have many complaints against them. The company customer representatives are obviously outsourced to India--and have horrible customer service skills. Why are they allowed to do this when they are no longer in business?

    0 Votes
  • Mi
    Michael Hovsepian Aug 17, 2016
    This comment was posted by
    a verified customer
    Verified customer

    Same with my $26, 500 credit limit!! Im in for anything to show Advanta is BAD!!!

    1 Votes
  • dec4566 Aug 17, 2016

    You actually are talking to people from India. Late last fall of 2008, Advanta laid off all it's 300 or so U.S. customer service employees and outsourced all of it to India.

    0 Votes
  • Ji
    jimbobsc Aug 17, 2016

    I too have been jacked. Called the help number and ended up speaking to some dude in India reading off a script. After much one sided discussion on my end he gave me an address to write to which I am in the process of doing.
    Advanta shut down future charges in the spring with 2 weeks notice. Had been getting emails as reminders payments where do but that stop and I forgot a payment and was late on another at the end of the year. No warning. Prior to shutting off accounts they kept sending "convenience checks" which I shredded. Still I have about a 9k balance and the interest rate is like a mortgage. If there is a class action sign me up.

    0 Votes
  • Aw
    aworkingmommy Aug 17, 2016
    This comment was posted by
    a verified customer
    Verified customer

    I'm right there with you! I was furious to find out this morning from an article, and not from Advanta. The lack of respect and consideration by the company not notifying it's customers is inexcusable. They are the lowest of the low, and I long to see the day that the company will no longer exist at all. These so called "execs" are too brainless to be able to separate the good accounts from the bad, and continue to make a profit on the good ones! (That was 80%, mind you!) Well, my card with a limit of 35, 000 and my husbands, with a limit of 50, 000 (2 separate businesses) will no longer generate any business for them. We have good credit and will be fine. Within 15 minutes of finding out, I lined up a rewards card with 9, 000 limit. I feel for those who will not be as fortunate. This is one of those moments when I am sooo tempted to take my last check to them and use it as a pooper scooper before mailing it in! Hey, maybe ...

    1 Votes
  • Pl
    Plikke Aug 17, 2016

    I didn't catch it in time and never received the opt out letter. I can understand being late on a payment to justify the increase but when you are a conscious consumer paying on time and more that the minimum amount it's just WRONG!!! Count me in class action lawsuit effort.

    0 Votes
  • St
    Steve Leibovitz Aug 17, 2016

    After offering a 9.9 % credit card and using it for my business, never late, always paid twice the min payment they doubled my rate. You can not get an answer from anyone when you call. Every one sounds like they are in India and uses American sounding names like John and Neal and Mary.

    0 Votes
  • Li
    lipppz Aug 17, 2016
    This comment was posted by
    a verified customer
    Verified customer

    I had to leave town due to my father-in-laws illness, and missed a payment because my wife and I were so involved with the situation. As it turned out, my father-in-law passed away after a 10 days in hospice care. I returned home the day after the funeral and got a message on my answering machine about the miss payment. When I contacted Advanta, they informed me the raised my interest rate from 7.99% to 29.99%, even though I never missed a payment in the three years I had the account. The only way for them to lower the interest rate was for me to pay $2178.00. No matter who I talked to, they did not care. I am at a lost how a company can be so mean to someone who had to deal with so much and took immediate action to resolve the situation, especially since I have an outstanding payment record with Advanta.

    0 Votes
  • Ca
    Cazimone Aug 17, 2016

    I have had my Advanta card for about 10 years. Never missed a payment, excellent FICO, excellent credit. Went to make my end of August payment and found they jacked mhy interest rate from 10.05% to 30.05%. Claimed they sent an opt out letter. Never received it! Payment went up by 3 times and interest up by 5 times! Filed a complaint with the BBB and closed my account. Fortunately got back the excess interest. I am now working with an attorney, Alan Finkel, in Commack, NY to try and file a class action lawsuit against Advanta. I have seen over 200 victims of this same thing. 2 lawsuits have been filed and won already against Advanta in Philadelphia. If you have been ripped off in the same way, please contact me at [email protected] to join our class action lawsuit effort.

    0 Votes
  • La
    Lauren Aug 17, 2016

    Just when you thought Bernard Madoff was the biggest crook in the financial industry, watch out for these guys. Advanta teaser credit card rates WILL end up at 2-3 times the national average credit card rate!!! These people's GREED is amazing. Advanta teaser credit card rates end up at 2-3 times the national average credit card rate!!! Just have a bad month or 2 and late once (in other words just have a short term job or health problem) and without notice ADVANTA will pop the rate they charge you on your credit card balance to over 35%! …, How’s that for fair lending practices?!

    Their cost of money, Federal Funds Rate ( the interest rate the banks like ADVANTA Get their money has never been lower (under 1%), yet they WILL penalize a long and well established small business owner with over 35% credit card interest…these ADVANTA people are like the greedy high school bullies… they kick you when you’re down.

    0 Votes
  • Sa
    sallyride Aug 17, 2016
    This comment was posted by
    a verified customer
    Verified customer

    To those of us who own a small business in this economy it has been a bitter sweet American dream. Advanta Credit Cards has not been a good partner since its sky rocketing interest rate shot up. The opportunity to use the credit card to our advantage was taken away when they froze their customer accounts. All we can do is struggle to pay their high rate interest because there is no one who cares about the people who are trying to keep up with their black mail payments. I have tried to talk to them & it is useless. I have made the payments on time & in excess of the amount due for years. I just do not understand why we have to pay for their bad decesions.

    0 Votes
  • Ro
    Robert Aug 17, 2016

    My office and myself have been in email contact with Advanta about the outrageous rate increase in our company credit card. I have written by mail the V.P. Brenden in Salt Lake City. No response to date. No phone call and in his first letter he stated he wasnt able to contact me at a phone number I have had for 18 yrs. We have had our business card for approximately 10 years. We managed to always pay on time, with more than the minimum due. Our rates have gone from 7.99 per cent to 27.99 percent. One payment was made one day late due to a log on problem my wife encountered. You also said your reason was due to change in usesage. However, you were not specific with what that meant. This is absurd. I demand that my rate be returned to the previous rate and payments we made since the increase be recalculated and credited against the principle.

    0 Votes
  • Br
    Brendan Aug 17, 2016
    This comment was posted by
    a verified customer
    Verified customer

    My wife established this account to help her with her small business. Note the word SMALL business. She has had the account in excess of a year. She has been managing her business well and has not used the credit card over the last 5 months. Yesterday (7/21/2008) she gets a letter advising her that the account has be closed due to ...get this...lack of activity! So you run a SMALL business well and do not live off the credit and the account gets closed! No wonder this economy is in the tank, there is nobody at home!!

    DO NOT USE ADVANTA BANK FOR ANYTHING. I will get on every blog site, website, e-mail campaign, etc. to get this point across. Enough is enough!

    0 Votes
  • Ro
    Ronald J Burruano Aug 17, 2016
    This comment was posted by
    a verified customer
    Verified customer

    they are charging a default rate at 36.31% on my account which have been making my payments on time for over five years its a
    shame nobody with credentials will stop this bank from unfair lending practices i guess the banks must have a secret power in
    the about to come new world order where the elite rich will dominate and even exterminate the population as they see fit. Thats
    why nobody could touch them because our system is corrupt and we are going through a change of order.

    0 Votes
  • Go
    Gollre62 Aug 17, 2016

    After years of paying on time, a good FICO score and NO delinquencies on my credit report, Advanta sent a notice that unless I write them a letter and stop using my card, the rate will increase to 32.69% PLUS LIBOR rate or 2.4%, whichever is GREATER! This means a new MINIMUM RATE of 35% or MORE! Let's all write our congressmen to STOP this madness. These rates are as bad as the 'vig' a loan shark would charge!

    0 Votes
  • Bc
    BCotton Jul 20, 2016

    How do I get involved with a class action suit against Advanta? Absolutely the worst, most dishonest, rudest financial institution I have ever dealt with as a small business owner.

    0 Votes
  • Wi
    willie wonkit Jul 20, 2016

    when there are enough people with similar complaints you can contact each other and file a class action lawsuit against these companies, which is much more powerful than one individual...or something similar to a governmental agency or congressman/senator who is on a committee of oversight on the industry you are complaining about.

    0 Votes
  • Ki
    Kirk Jul 20, 2016

    I hate this company! They did the same to our small business a couple of years ago after they continually increased our credit limit. After several attempts to lower my rate from 30%, they finally brought it down to 19.99. I've been trying to pay off my balance with timely monthly payments which are way over the minimal. Was late by 2-3 days with 2 payments in the last 12 months and now my APR went from 19.99 to 29.99. Contacted Advanta - no help! I'm already signed up for a class action suit again them but I want to know if I should continue to pay off the balance.

    0 Votes
  • Le
    Lee Schmortz Jul 20, 2016
    This comment was posted by
    a verified customer
    Verified customer

    Exact same problem here. There are many references to Advanta on the net. They are running a bait and switch scam where they screen for high FICO customers then after a period of time and a balance has been run up, they switch to 30% rate for no reason. I hope to see these clowns sweating in front of a congressional hearing soon.

    0 Votes
  • 36% INTEREST ADJUSTMENT - Dirty Rotten ###. Luckily, I was able to transfer out. My prayers are out to those who can't.

    0 Votes
  • Valerie Jul 20, 2016

    DO NOT GET THIS CARD!!! Same story as everyone else- no late payments, always early, and for no reason rate went from 7.99% as agreed to aver 20% in ONE month with NO warning! When my monthly payment tripled I looked and found out what they had done. THIS IS A SCAM PEOPLE!!

    0 Votes
  • Valerie Jul 20, 2016

    I have had a credit card with these loan sharks for 3 yrs. Always paid on time and paid over the minimum payment. Regardless they raised my rate from 10.09% to 30.08%.

    When I called to complain they just said it was due to my credit rating, although none of my other credit cards changed my rate. I was given the same rehearsed speech over and over again. Was told to check back in a couple of months to see if my rating has changed.

    No Thanks. I will pay this card down and never do business with them ever.

    This scam needs to be exposed!!

    0 Votes
  • Dr
    Dr. Griggs Mar 25, 2011
    This comment was posted by
    a verified customer
    Verified customer

    I was a loyal customer for years and never missed a payment, either. Then I bought some software that didn't work. I returned it to the vendor, who refused it. I refused to pay for it and cited three pages of the software's and vendor's failings to Advanta. Their response was that I had to find other dissatisfied customers before they would credit my account. That is impossible. Do you think the vendor is going to give me a list of his dissatisfied customers?
    I paid the bill and learned to live with the software, which still sucks. Advanta charged me interest and a late fee for not paying for the software until the next month. I paid that, too.
    Months later I cancelled a monthly service 10 days before the end of the credit card cycle--plenty of time for the service to reverse its monthly charges. An Advanta rep told me on the phone they had talked to the service and the service agreed to credit back my account the following month. They subsequently refused to do that and Advanta refused to credit back my account, too, despite what Advanta told me. I didn't pay that bill, figuring the service would come to their senses, but when they didn't, I was into another billing cycle with more interest and late fees. Advanta refused to reverse either. I paid the bill and closed the account, vowing never again to do business with Advanta.
    My conclusion is that they are vendor oriented, not consumer oriented. They have arbitrary rules that do not fit reality. They are inflexible. I'm not. I now have other credit cards. I suggest anyone who reads this take this to heart. You won't know just how bad these people are until you really need them. In a word, Advanta is AWFUL.

    0 Votes
  • Im
    ImagiNet Mar 25, 2011
    This comment was posted by
    a verified customer
    Verified customer

    DO not do any business with Advanta! I have been a loyal credit card member for years and always paid my monthly balances in full each month. I never carried a balance! NO INTEREST OR FEES – Ever! In July 2007 I went to pay my bill on-line….. THEIR WEB SITE WAS DOWN!!! The credit card was for my business and with a tight schedule I always paid via their web for the ease and convenience. The bill was due that day, I could not make the payment, and did not have the time to call them or try later that day or maybe the next day. I wanted to make the payment now and could not because someone at Advanta botched a web update.

    The Advanta Story from their site: “At Advanta, our focus is on small businesses, and no one knows the needs of small business like we do. Started in 1951 with $30 in seed money in founder Jack Alter's spare bedroom, Advanta has grown into one of the nation's largest providers (through Advanta Bank Corp.) of business credit cards to small businesses, without forgetting what it is like to be a small or start-up business.” OK, Yeah right! Don’t bend over anytime soon because it’s 2007 and you will pay for that seed and growing out of your a**!

    When I called (now after the due date) the customer service representative told me he was aware of the problem and told me I could make a payment today over the phone and I did in full as always. I asked him (more than once) if I would be charged for the phone payment and a late fee and he assured me that our conversation would be documented and that I should not have a problem. OK

    Well, I received my next statement and I had a charge for $12.00 for a phone payment service fee and a $39.00 late fee. I figured no problem, I would call Advanta and they would see the notes from my last call and credit me for their error. WEB SITE DOWN! I was told that they have credited me for a late fee in the past and they can not and will not waive the late fee but will remove the phone payment fee. Yippee, I wanted to jump for joy but thought the seed I mentioned earlier might fall out and it would smell like the BULL S**T that Advanta has grown to be! Bogus Fees and Charges for their web outage and forget me the small business customer “as their founder focused on?”. Advanta would rather focus on charging you fees for their loss in interest and/or loose you as a customer. The Advanta Story – SCAM YOU OUT OF YOUR MONEY! Advanta Customer service? NO, IT DOES NOT EXIST! No such department.

    0 Votes
  • Ja
    Jacksonicon Oct 13, 2010
    This comment was posted by
    a verified customer
    Verified customer

    I APPRECIATE THE CONCERN WHICH IS BEEN ROSE. THE THINGS NEED TO BE SORTED OUT BECAUSE IT IS ABOUT THE INDIVIDUAL BUT IT CAN BE WITH EVERYONE.

    0 Votes
  • Te
    Terry M Dye Nov 13, 2009
    This comment was posted by
    a verified customer
    Verified customer

    What is going on with these banks? The interest their charging is nothing more than RAPE.

    I have never been late and always send more than the minimum required payment. I find that out of a $100.00 monthly pmt. $49.36 is interest. All of the bail out money given to the banks from the government should have been passed on to the customers who have been loyal in their payments. I cannot afford to pay for somebody elses mistakes furthermore, the people who made these mistakes are continueing to receive outrages bonuses. WE the people are outraged. The banks are doing nothing more than makeing incoherent accusations against the people that has supported them over the years. Somebody needs to put a stop to this!!!

    0 Votes
  • dec4566 May 11, 2009

    The President of the company is Dennis Alter. That is common knowledge. Last article I read a few months back, they were not going to take the bailout money. It wouldn't surprise me if they changed their minds. Advanta is definitely not a credit card one would like to have these days. You'd have better luck with a loan shark.

    0 Votes
  • Jo
    Jo Ann May 07, 2009

    Stay away from Advanta Bank, I too was drawn in with the low interest rate, but after paying on time for several years my interest rate jumpted to 34.7%, I was told that after paying on time for the next few months it would be looked at again, now one year later I am still trying to get it reduce. Also, on the phone with them just now for 37 minutes, calling India, and was just told after all this time that I have to wait another year to lower my interest rate and they cannot give me the name and contact information for the President/CEO of the company, that is confidential information.

    Stay away from them, if anyone needs money that badly you will do better with loan sharks than you will with this company that, and I confirmed this, has already received bailout money.

    0 Votes
  • Ph
    phil Mar 23, 2009

    So pissed, My interest rate went from under 9% to over 34%. When called to complain they said that informed me that my credit was still in the 7oos and that I was never late and to just keep making my payments on time. I am done with them. They wil never get anymore of my business.

    0 Votes
  • dec4566 Mar 21, 2009

    I am working with an attorney in NY who is working on legal action against Advanta. E-mail me at [email protected] if interested in participating.

    0 Votes
  • La
    latestvictim Mar 19, 2009

    Let me add my story to the long list of complaints against this bank. I was a good customer of the bank until last fall when I fell victim to the old "change the due date" scheme which made my payment late. My interest rate immediately rose to 34.9% and has stayed there ever since. My payment went from $143 per month to now over $600 which I can not afford to pay. My first call to customer service resulted in a "sorry, noting we can do" . I have called repeatedly for the past 4 month requesting that my account be closed and that I be put on a payment plan...which evidently they keep telling me they do not have. Each representative I speak to advises me to wait another 30 days and then "something will be available to you" what is available is another $300 in interest charges, another late fee and another over the limit fee because of all these outrageous interest charges. I have filed a complaint with the FDIC but in speaking to them, they tell me there is nothing they can do?????? This is legal? My sympathies go out to those who have been hit with mortgag schemes but why isn't anyone looking into these credit card rackets? If there's a class action suit out there, please direct me to the site!

    0 Votes
  • Kr
    kramer Mar 06, 2009

    Advanta MasterCard did the exact same thing to me. Out of the blue they increased my interest rate from 8.99 to 35%. I had never been late with a payment as a business customer and I always submitted monthly payments hundreds of dollars over what they were requesting. I also spoke with customer service and then with a supervisor with negative results.

    Their practices are unconscionable and would have thought unlawful. I will contact U.S. Consumer Affairs and lodge a complaint as well. How many people have to lodge a complaint before a class action can be lodges for corrupt business practices?

    0 Votes
  • dec4566 Feb 22, 2009

    I am working with attorney Alan Finkel in Commack, NY who is working with some state class action law firms to seek action against Advanta. If your interested in particpating, please e-mail me at [email protected]

    0 Votes
  • Sa
    Saedelm Feb 20, 2009

    I too have been scammed by Advanta.

    I had a 2.9% rate, never paid late, always paid more than the minimum, never went near my limit, and out of no where, for no reason, they changed my rate to 29%!

    This happened last June, same as the rest. At one point it was up to 35% but I don't understand why they lowered it. I filed a complaint with the FDIC, spoke with Ms Timmons who handles Advanta. They were supposed to reduce my rate to 2.8 but did not comply with the FDIC!

    They must be stopped. I am willing to join in any class action suit against them.

    0 Votes
  • Pa
    patchouli514 Feb 05, 2009

    Can you transfer your credit to another card? I keep only one credit card so I don't know much about this, but I would transfer and send my business elsewhere.

    0 Votes
  • To
    TomL Feb 05, 2009

    I have been a customer of Advanta for 5 years - they just raised my rate from 6.99% to 30.17%. Never one late payment in 5 years and always paid well over the minimum amount due. I overlooked my January 2009 payment due on 1/31/09, they called me on 2/5/09 and I paid immediately over the phone. They then told me that my interest rate would be raised from 6.99% to 30.17%. I spent 40 minutes waiting for a supervisor and he told me that they have zero late payment tolerance and that is the best rate.

    0 Votes
  • Kt
    K T C Feb 04, 2009

    I just got my bill with32% rate for cash advance and they said they can charge up to 39% UT. The feds max is 24 % and thats the IRS!!
    [email protected]

    0 Votes

Post your comment

    By clicking Submit you are agreeing to the Complaints Board’s Terms and Conditions

    IN THE NEWS

    Unhappy consumers gather online at Complaintsboard.com and have already logged thousands of complaints.
    If you see dozens of complaints about a certain company on ComplaintsBoard, walk away.
    One of the largest consumer sites online. Posting here your concerns means good exposure for your issues.
    A consumer site aimed at exposing unethical companies and business practices.
    ComplaintsBoard is a good source for product and company gripes from especially dissatisfied people.
    You'll definitely get some directions on how customer service can best solve your problem.
    Do a little research on the seller. Visit consumer complaint websites like ComplaintsBoard.