Credit Card Account Sold to Another Bank
Author: Austin
Posted: Fri May 26, 2006 4:35 pm
Post subject: credit card account sold to another bank ??
Hello folks,
Gotta situation where I hope someone can advice me about legal options
I've had a platinum visa card from Bank A which I had been keeping in good standing since I was issued the card almost 2 yrs ago. About 5 months back, I got a letter from Bank A telling me that they've sold my visa card account to Bank B. Then I got a package from Bank B welcoming me as their client along with a new visa card issued by Bank B which was just a regular visa instead of platinum. They also mentioned that they've third party service that will be taking care of this account, meaning I'll be making payments to that third party instead of directly to Bank B. I was surprised how could they sell an account just like this, and whether there's anything that would make Bank A to first get my persmission to do that. Because in doing so, they've transferred/sold all my personal information (full name, address, SS#, DOB, mother's maiden name etc) to Bank B which in turn gave this info to that third party service.
I argued with Bank A and initially they said that the credit card agreement does mention this clause whereby they can sell the account w/o prior approval from the credit card holder. I reviewed the agreement and couldn't find any such clause and I inquired again with both Bank A, B about it and now they're saying that it doesn't have to be in the credit card agreement, banks just can do it, they don't need any approval from credit card holders. I told Bank B & the thrid party service provider that I can't make any payments to them since I don't consider them the rightful creditors for this account and that this account needs to be reverted back to Bank A before I can start making payments.
My question is, is there really such thing that creditors can sell the credit card accounts w/o actually getting a nod from the card holder and what about all the personal info that they've sold w/o my approval ?? can I go after Bank A and file a legal claim against them ??
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: fitz75
Posted: Fri May 26, 2006 5:40 pm
Post subject:
Who are Bank A and Bank B? It may help you get more solid answers
From my reading, its not uncommon for banks to sell accounts so I would guess that they do have the right to do that.
Not paying your bill isnt going to get you anything but bad credit. I really don't understand your logic of not paying Bank B. You really think they will change your account back to your original bank if you refuse to pay?
Read your TOS really closely. Bank A can make changes anytime all they need to do is send you notice. If you fail to reject the terms its implied consent.
They include extra things with the bills all the time and if you are anything like me, I toss all the extra stuff. You may have missed it.
Author: Austin
Posted: Fri May 26, 2006 6:20 pm
Post subject: Credit Card Account Sold to Another Bank
Hi fitz, thanks for your reply.
Providian were the actual creditor on this account, they sold it to some GA based Columbus bank which has SST as a 3rd party service provider on this account.
Making changes to the credit card agreement is one thing but selling this account to a different bank is an all together different thing. My point of contention with them is that Providian hasn't been forthcoming in this whole matter. . First they told me that TOS does contain the clause by which they can sell this account. I specifically asked them to send me a copy of the agreement which they did and I just couldn't find any such thing. And when confronted, now they're simply saying that it doesn't have to be in the agreement. Second, how could they be selling my personal info to some other banks, I mean if there was a bank merger, I can understand but now my personal information is floating around to companies whom I didn't consent to provide all that data.
And then, this new bank downgraded the account to regular visa instead of platinum even though I had it in good standing with Providian.
Author: fitz75
Posted: Sat May 27, 2006 12:23 am
Post subject: Credit Card Account Sold to Another Bank
Well, Washington Mutual bought/merged with Providian. So your issue probably has to do something to do with that.
You can check with a lawyer to see how legal what they did was, but I am betting you won't have any recourse.
If the only difference is the word platinum, I'd keep the account going for the sake of a positive TL. If they changed rates/credit limit for the worst, you can always try to get another card and BT.
AmEx is running 4.99 for the life of the BT with no fee on their Blue Cash cards and I am sure there are some other better ones out there.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Posted: Fri May 26, 2006 4:35 pm
Post subject: credit card account sold to another bank ??
Hello folks,
Gotta situation where I hope someone can advice me about legal options
I've had a platinum visa card from Bank A which I had been keeping in good standing since I was issued the card almost 2 yrs ago. About 5 months back, I got a letter from Bank A telling me that they've sold my visa card account to Bank B. Then I got a package from Bank B welcoming me as their client along with a new visa card issued by Bank B which was just a regular visa instead of platinum. They also mentioned that they've third party service that will be taking care of this account, meaning I'll be making payments to that third party instead of directly to Bank B. I was surprised how could they sell an account just like this, and whether there's anything that would make Bank A to first get my persmission to do that. Because in doing so, they've transferred/sold all my personal information (full name, address, SS#, DOB, mother's maiden name etc) to Bank B which in turn gave this info to that third party service.
I argued with Bank A and initially they said that the credit card agreement does mention this clause whereby they can sell the account w/o prior approval from the credit card holder. I reviewed the agreement and couldn't find any such clause and I inquired again with both Bank A, B about it and now they're saying that it doesn't have to be in the credit card agreement, banks just can do it, they don't need any approval from credit card holders. I told Bank B & the thrid party service provider that I can't make any payments to them since I don't consider them the rightful creditors for this account and that this account needs to be reverted back to Bank A before I can start making payments.
My question is, is there really such thing that creditors can sell the credit card accounts w/o actually getting a nod from the card holder and what about all the personal info that they've sold w/o my approval ?? can I go after Bank A and file a legal claim against them ??
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: fitz75
Posted: Fri May 26, 2006 5:40 pm
Post subject:
Who are Bank A and Bank B? It may help you get more solid answers
From my reading, its not uncommon for banks to sell accounts so I would guess that they do have the right to do that.
Not paying your bill isnt going to get you anything but bad credit. I really don't understand your logic of not paying Bank B. You really think they will change your account back to your original bank if you refuse to pay?
Read your TOS really closely. Bank A can make changes anytime all they need to do is send you notice. If you fail to reject the terms its implied consent.
They include extra things with the bills all the time and if you are anything like me, I toss all the extra stuff. You may have missed it.
Author: Austin
Posted: Fri May 26, 2006 6:20 pm
Post subject: Credit Card Account Sold to Another Bank
Hi fitz, thanks for your reply.
Providian were the actual creditor on this account, they sold it to some GA based Columbus bank which has SST as a 3rd party service provider on this account.
Making changes to the credit card agreement is one thing but selling this account to a different bank is an all together different thing. My point of contention with them is that Providian hasn't been forthcoming in this whole matter. . First they told me that TOS does contain the clause by which they can sell this account. I specifically asked them to send me a copy of the agreement which they did and I just couldn't find any such thing. And when confronted, now they're simply saying that it doesn't have to be in the agreement. Second, how could they be selling my personal info to some other banks, I mean if there was a bank merger, I can understand but now my personal information is floating around to companies whom I didn't consent to provide all that data.
And then, this new bank downgraded the account to regular visa instead of platinum even though I had it in good standing with Providian.
Author: fitz75
Posted: Sat May 27, 2006 12:23 am
Post subject: Credit Card Account Sold to Another Bank
Well, Washington Mutual bought/merged with Providian. So your issue probably has to do something to do with that.
You can check with a lawyer to see how legal what they did was, but I am betting you won't have any recourse.
If the only difference is the word platinum, I'd keep the account going for the sake of a positive TL. If they changed rates/credit limit for the worst, you can always try to get another card and BT.
AmEx is running 4.99 for the life of the BT with no fee on their Blue Cash cards and I am sure there are some other better ones out there.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
posted by CardRatings.com at 6:38 PM
0 Comments:
Post a Comment
<< Home