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How Providian Misled Card Holders

San Francisco Chronicle

May 5, 2003

In a memorandum to senior executives of Providian Financial Corp., the giant San Francisco credit card company, founder Andrew Kahr stressed the guiding principle that had made the firm one of the nation's most profitable consumer-finance operations.

In lending to the kinds of high-risk customers Providian specialized in, Kahr wrote, the "problem is to squeeze out enough revenue and get customers to sit still for the squeeze."

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