Watch Out If Your Credit Card Gets Sold To SST Card Services, Cause They're A Total Freakin' Scam

Consumer complaints are mounting against SST Card Services for deceptive and unlawful billing practices.

Many of these consumers were Providian customers, who say they were dutifully paying off their debts, found their accounts sold to SST.

Their whole game seems to be to put your account in default so they can charge you the maximum allowable default rate of 29.99%.

SST does this by arbitrarily lowering your credit limit, misplacing balance transfer checks, and misplacing payments. Their online billpay system is error prone and locks people out, resulting in a late fees of $39 (you can pay by phone, but it’ll cost you $10 extra). People who try to close their accounts out are assessed arbitrary finance charges. People who complain are treated with rude customer service who tell them to take their credit balance elsewhere if they don’t like it.

Anyone finding their account sold to SST Card Services should follow this sage advice.

UPDATE: Sounds like some kind of fly-by-night, boiler room operation, right? Actually, according to their About page, SST Card Services is a wholly-owned subsidiary of JPMorgan Chase Bank. Booooh. — BEN POPKEN

[ComplaintsBoard]
SST [Official Site]

Comments

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  1. mantari says:

    So many different ways to snark here. Sinister vs grossly incompetent. 30% interest rate. Another data point to feed your congressperson who has an interest in the usury activities of the credit card companies…

  2. TechnoDestructo says:

    It wasn’t nearly as bad, but Chase was pulling some of the same shit on me early this year, a couple years after my Providian account had been sold to them.

    I told them to close my account. I’m pretty sure they still haven’t.

  3. dayjayvw says:

    Simple work around….

    stay out of debt

  4. ZekeSulastin says:

    Dayjay, part of the issue, for those like you who didn’t bother to READ the website, is that SST balloons what debt may be present, even small manageable amounts. Furthermore, they make it damned near impossible to actually make payments, as mentioned in the summary, let alone all over the site.

    Or you can continue to have the holier-than-thou attitude of 95% of the people on this site, including myself :p it seems to work for most.

  5. quantum-shaman says:

    @dayjayvw: That could be a bit of a problem for people who are already in debt over their heads because of extenuating circumstances. Divorce, or getting shafted by some mortgage company on an adjustable rate for example. If you should be so unfortunate, another option is to not even deal with these debt restructuring outfits and just let it go to collection. Once that happens, they are no longer assessing interest and late fees, they are only collecting the *principal*. That could be a significantly smaller chunk of change.

  6. thrillhouse says:

    Getting out of debt and staying out of debt means never having to deal with this again.

    Credit cards, Shmedit cards.

  7. revmatty says:

    @dayjayvw: Yea, shame on those people who got laid off and couldn’t afford health insurance anymore so they had to finance major medical issues.

  8. scoobydoo says:

    @thrillhouse: If you read some of the complaints then you’ll see that it isn’t only people with debt. Also folks with no debt see their cards passed on to these scumbags. I think it is just their way of dumping customers that are not very profitable for them. Some customers went from a full service card with warranty extensions and free credit scores to a card with 29.99% and no extra features.

  9. thrillhouse says:

    @scoobydoo: Sorry if I was incomplete. See, after you get out of debt, you cancel the card and put it thru the shredder.

    When you work your butt off to become debt-free and live that way, then you’ll never have to deal with this BS.

  10. allusion75 says:

    I recently experienced the same sort of thing from Chase. I had a Chase card for 7 or 8 years and all of a sudden started having trouble with late payment charges from them, difficulty in paying it off etc… So it does not surprise me at all that they have done this.

  11. heller01 says:

    @thrillhouse: And what if you work your butt off just to maintain the status quo? The old bootstrap doesn’t work for people who don’t have the job opportunities to get a decent paying job, and some of these credit card companies pray off that kind of person, or people like me who are still in school.

  12. Hackoff says:

    They got me. I had a providian card when I was in college. Then a while back providian apparently sold my visa card to SST. The next thing I know my balance went from $400 to $1200 in a matter of 3 months. I wasn’t getting statements from SST, and there is literally no way to get in contact with SST.

    Of course they reported it to the credit bureau and now I am fighting to get this resolved.

  13. FLConsumer says:

    @heller01: Then it’s time to figure out where your priorities are. Spend less, conserve, and save. I worked for 10 years before even THINKING about going to med school. Saved every penny I could. Going through med school 100% debt free? Priceless.

  14. fargle says:

    Last year Chase “randomly” pulled my wife’s credit report right when she was in the middle of cleaning up some identity theft, and decided she was a bad risk and raised her rate to 29.99%.

    When I finally saw a statement and saw what was going on (we’d been at that rate almost a year at that point), I called Chase and attempted to explain to them – her report was now cleaned up of all but one problem.

    They refused to refund any of the interest we’d paid (in error, as far as we were concerned), said they had never pulled her report again despite the fact that she had been a customer in good standing for over 10 years, and told us we’d have to basically totally re-apply to get her rate lowered. They were completely obstructive to my attempt to clear the matter up equitably.

    So I went to my local bank, took out a 4 year loan at very low interest, and closed the account. I will never give another dollar of my money to Chase or anyone connected to them again for the rest of my life.

    Total scumbags. It doesn’t surprise me that they are behind this company.

  15. IRSistherootofallevil says:

    If Chase sells my credit card account to SST for any reason at any time, I’m going to sue the shit out of them. If they do, I’ll post here, we can start a class action suit.

  16. TechnoDestructo says:

    @fargle:

    Chase changed the length of my billing cycle twice in 2 months, ensuring that me paying my balance the during the first week of the month as I’d been doing almost every month (sometimes I did it the week before) for YEARS would result in me getting late fees.

    They claimed it had always been this way. And “This is how credit cards work, sir.” “No, this it isn’t. It isn’t how THIS card worked for the last 3 years. I’m going to pay off my balance and cancel my card.”

    I don’t think they ever did cancel it, as my online password still works.

    Oh yeah, and at some point they raised my interest rate without telling me. When I got my card (with Providian), I only got it because it was a fixed rate. Uh, what?

    FUCK Chase.

  17. TechnoDestructo says:

    @allusion75:

    When did you start having problems? Mine were in January and February of this year. (before I got fed up)

  18. TechnoDestructo says:

    @thrillhouse:

    “Getting out of debt and staying out of debt means never having to deal with this again.”

    I never carried a balance from month to month. So they changed the definition of a “month.”

    “Credit cards, Shmedit cards.”

    Well, they have their uses, even if you aren’t spending money you don’t have. I just wish I could find one which I could count on not INTENTIONALLY screwing me.

  19. Kastigador says:

    SST is a vulture credit card company. They swoop in to purchase high balance, troubled accounts from the major credit card providers and basically screw those people with high interest rates, fees, unorthodox payment policies, and absoluely terrible customer support.

    Back in early 2005 I had a card with Providian just after graduating from college which I had been carrying a high balance on from some thoughtless debt I got myself into during my college years. SST bought my account and did not notify me. Fortunately I found out because I frequently check my various accounts online(I never remember my due dates) and Providian’s site told me my account was no longer with them and to call call SST’s 1-800 number. I received a letter of notification from SST 6 weeks later, literally days before my first payment due date with them(along with all the suprise changes they made to your account). If this isn’t a predatory lending practice I don’t know what is. Suddenly I realized the credit sharks were circling and were trying to put me between a rock and a hard place. Fortunately my father bailed me out by using his bank line of credit to get me a low interest bank loan that let me pay off the balance through him over a year(as originally planned).

    For whatever inane reason I left my SST card open after that and would occasionally use it for some small purchases. Of course, their archaic account management system and obscure policies helped net me quite a few fees in a short period of time. I called to rectify the problem and their customer service staff was confrontational from the moment they got on the phone. After a rep literally criticized my financial habits, he refused to put me on the line with a manager and when I threatened to close out my account unless they gave me some kind of fee reversal, they wouldn’t budge. So I went ahead and cancelled the account and sent in a final payment. That was a year ago. I actually just signed up again for a credit monitoring site today and guess what? Yep, they never closed my account. Ridiculous! If you are sold to them, I advise you to get a lawyer friend on the phone when you call them to close the account. Also, request a written card cancellation verification letter sent to you.

    I have Chase credit cards because their rewards benefits are second to none, but I have improved my credit greatly. Playing with credit cards is like playing with fire, whatever you do with them you should be absolutely certain you can handle them if they ever turn on you. I agree that using credit cards for day to day purchases is no wise, but I’ve netted almost $200 worth of cash back from special rewards cards. That’s no small chunk of change. I just keep it to only those certain high reward items(5% back at Gas, Groceries, Drug Store, Restaraunts). And I always pay that balance off as soon as the statement is generated. I have built a built a nice savings buffer, and I don’t do 0% apr financing for purchases unless the total amount is already in my checking account. My credit score went from a 570 to a 730 in a year and a half.

  20. diamond1982 says:

    i recently closed my account with providian not to long ago. I went to the website to view my account and there was a statement posted showing that they had sold my account to sst and to call the 1-800 number to receive info on my account. So i called the number and what do you know, my account number was unrecongized. After calling and trying several times, i called up providian to get information. I was told that they no longer had my account so they could not give me any information or a correct contact number for me to get a hold of somebody. Hour went by and finally got through. My account had been changed and so had my interest rate, which is illegaly b/c my account was closed before they bought it. Anyways, asked them why i wasn’t notified and all i got was “it was sent to you and maybe you should check with your mail service”. Then i check with the lady to make sure everything was in good standing and it was. The next day i get a call from them telling me my account was deliquient for the month of may. I tried to argue my point and i got told that this was my credit and i should be worried and got charged a $39 late fee. Ever since that day, i have gotten a phone call from them wanting money after i told my statement say this date, you already charged me a late fee, and this is when you’ll get it. They are nothing but money hogging rude people working for sst. They are so full of shit that im surprised we can’t smell them. And on top of it all, they even called my husband’s cell phone, even when he is not on the account and they also call befor legal times. So whatever you do try to transfor anything you can because sst is nothing but a huge scam, who tries to charge anything they possibly can.

  21. Talislanta says:

    I received this credit card as a “transfer account” from the Washington Mutual account I had set up. Initially, I was very displeased about said transfer as I was not notified that it would take place, rather received notice by receiving the new cc in the mail. Additionally, I was displeased as the card services I was provided through Washington Mutual did not transfer with the account; such items as the free credit score I received monthly to assist in tracking potential issues or identity theft, and Washington Mutual’s agreement with Bank of America (BOA) wherein payments I made from my checking account at BOA were applied to my cc account the next business day. However, other than the inconvenience and lack of service, I have not had a problem with the new card until now.

    Let me preface by stating that I have never had a late payment on this, or the WAMU account from which it was created.

    July 5, 2007 I logged in to the SST Card Services website, entered, authorized, and confirmed my payment of $32.24. Please note that the website does not provide a confirmation number at the time of confirmation, rather, the consumer is to depend upon receipt of said confirmation number via email from the company after they process the request, stated to be within two business days.

    On July 17, 2007 (I received my monthly statement indicating that my payment had not been received, and assessing me a $39 late fee. I contacted the customer service number (800-388-1806) on my and advised the representative of the issue, and requested that they take my payment over the phone and reverse the service charges. The (rude)representative stated “you must have made a mistake’ and told me that I needed the confirmation number (which they do not provide). I requested to speak with a supervisor, who told me that I had no proof of payment, and that she would charge me a $10 service fee to take my payment over the phone. I advised that I would make my payment on-line rather than pay $10 to make a payment and requested contact information for the complaint department; I was told that they did not have one. I requested to speak with a manager, and was told that I would be transferred to the VM of “Sean”, however, when I requested “Seans” last name, was refused this information as well as an extension number.
    Upon ending my phone call, I went to the SST Card Services website and re-entered my payment of $32.24. At which time I verified that a confirmation number is not provided at the time of payment and that my email address information is correct in their system. Please note, that as of this time I have not received a confirmation email from SST Card Services for the new payment that is showing on my account. I have taken screen shots of all of this information so as to have verifiable proof that this payment was submitted through their system as I no longer have any reason to trust that this payment will be processed correctly.

    After receiving such poor service, and as this is a company with whom I did not choose to do business, I’ve simply applied to another company who has offered me 0% APR on balance transfers…. I’ve written various government entities to advise the m of this issue with SST; when I advised the manager of the same, he told me I better have sent them my terms and conditions of service as well; I advised him that I had not, as I had never received them from the ir company… We’ll see what comes out of it – in any case, they will have to spend the staff hours to handle the government inquiries! – Just transfer your balance to another company, and let SST go out of busines for loss of customers – remember, it is our choice to do business with anyone; including creditors!!! If you were able to get a card from one company, another company will be more than happy to collect interest from you, rather than giving it to SST

  22. outlawgrandma says:

    My Washington Mutual account was sold to SST. I never received a letter, new credit card and etc.
    An SST rep called me to tell me my payment was going to be late, but if I could pay $150.00 over the phone she would waive the fee, which I did. She informed me my next payment would be $115 due in May 07. I paid that amount online but it wasn’t enough!!!! I am now being chared an interest rate of 31%. I CANNOT tranfer a balance to pay itoff because SST does’nt accept it, it has to be mailed to them which I am in the process
    of doing. and then to h*ll with SST. They are very very rude to you as a consumer.

  23. sdiaz says:

    I want this company to get shut down!! It has been a nightmare to deal with their rude staff, and horrible customer service.

  24. jeniferssss says:

    sst put falls charges on my card to. when they took over providian my interest rate went up and a whole lot of overlimit fees and late fees it was a joke i finally after one year of hell with them paid it off because the balance was going know were and now i herd they might charge me more finance charges for another month?i don’t see how they can do that when the card was paid in full.i turned them in to the bbb maybe someone needs to look out for the consumer,were not all lying about this company.