High Interest Rate from Providian Credit Card
When people get debt problem, they only have limited access on getting new credit loans. The lender companies will always check on their credit record to find out if they had any delayed credit payment in the past. If we already had a bad credit record, we certainly have trouble to find a mortgage loan for purchasing our house.
For this matter, many lender companies offer bad credit loans for people with bad credit record. However, most of these bad credit loans give high interest rate for borrower. One of the best examples on this matter is Providian. This company use high interest rate up to 29.9%. Many financial experts say that Providian users will be poorer than before they use this credit card. Obviously, with such high interest rate, users will get interest rate that is much higher than their debt.
In August 2005, this company was sold to Washington Mutual. Its price was reached $6.5 billion. This company is one of the most profitable companies, so this price was quite fair. The company might said that it helps people in bad credit record on finding a credit loan solution, however, its high interest rate makes Providian credit card become one of the biggest threat for your financial problem.
