Providian Financial Corporation Announces the Convertibility of Its 4% Convertible Senior Notes Due May 15, 2008

Providian Financial Corporation (NYSE:PVN) today
announced that its $287.5 million of 4% Convertible Notes due May 15,
2008 (the "Notes") issued pursuant to a supplemental indenture between
the Company and Bank One Trust Company, N.A., as Trustee, dated May
27, 2003 (the "Supplemental Indenture"), will be convertible pursuant
to section 2.01(a)(i) of the Supplemental Indenture. The Supplemental
Indenture provides that the Notes are convertible if the closing price
of the Company's common stock exceeds $14.31 per share (110% of the
conversion price) for at least 20 trading days of the 30 consecutive
trading day period ending on the last day of the preceding calendar
quarter. Holders of the Notes may convert the Notes into shares of the
Company's common stock during the next fiscal quarter (July 1, 2005
until September 30, 2005) at the conversion rate then in effect.

   About Providian

   San Francisco-based Providian Financial is a leading provider of
credit cards to mainstream American customers throughout the U.S. By
combining experience, analysis, technology and outstanding customer
service, Providian seeks to build long-lasting relationships with its
customers by providing products and services that meet their evolving
financial needs.

   For more information, Investors please contact Jack Carsky at
415-278-4977. Media, please contact Alan Elias of Providian Financial
Corporation at 415-278-4189.