First, let me be clear, this is NOT a business credit card although they led me to believe otherwise when I signed up with them. A business credit card may require a personal guarantor if your business is less than 2 years. After your business has reached two years, you can remove your name as a personal guarantor and the credit will be based on only your company. Although this is what Advanta told me would happen at first, they corrected me and told me they only do business with small companies who will always have someone who personally is responsible for the card as well. The reason I found this out was due to a conversation I had with a supervisor when I called in about the other issue I had with them:
They increased my interest rate from 7.99% to 31.31%. One may wonder why a company would do this. Their answer is simple, they "randomly" did a review of my account (even though it was a rather new account) and determined that although I am never late on this card or any for that matter that my overall credit usage is higher than they would like to see. Therefore they have the right to increase my interest rate to the maximum they are allowed by law. They claim they sent me a disclosure explaining this would happen and giving me an "opt-out right" After inquiring further their "opt-out right" simply means they would cancel the card and freeze my interest rate where it was at. Anyone who knows about credit knows that this would hurt your credit by closing a tradeline.
The fact that credit card companies can use shady practices as this amazes me and enrages me as well.in my world, we call this the "bait and switch" technique which in any other industry is illegal. They lure you in with lies about what they can offer and give you a low interest rate and then when you are locked in they change everything.
Advanta Credit Card is a terrible company in my eyes and you should avoid them at all costs, there are tons of other cards which are far better... Stay away!!!
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