Credit Card News
Advertising Disclosure is an independent, advertising-supported web site. receives compensation from many credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. has not reviewed all available credit card offers in the marketplace.
Credit Card Applications » News » Legal » Campus Credit Card Ban Heads to New Jersey Governor

Campus Credit Card Ban Heads to New Jersey Governor

Add to Favorites:
Campus Credit Card Ban Heads to New Jersey Governor
Tags: , , ...

College students in New Jersey won’t be the target of credit card marketing on campus if a bill passed by the state senate last week is signed into law by Governor Chris Christie. The New Jersey bill would serve as reinforcement for provisions put forth by the Credit Card Accountability, Responsibility and Disclosure Act of 2009 (Credit CARD Act).

The New Jersey legislation was sponsored by Senator Kevin O’Toole. It forbids any public higher education institution from allowing credit card companies to advertise on campus. Displays, giveaways, and any other form of direct marketing to students would be prohibited. The bill was unanimously approved by the Senate last week and is now before Senator Christie.

O’Toole brought the bill before the Senate in an attempt to keep college students from getting into debt before they even enter the workforce. “We must reduce the temptation for students to accumulate large debts at such young ages, to improve their chances of achieving the American Dream,” he said, citing offers of free T-shirts and blankets that credit card companies use to lure young applicants.

Credit CARD Act already put limitations in place

The Credit CARD Act, which went into effect in February 2010, prohibits credit card companies from giving away merchandise on college campuses or at college-sponsored events. In 2008, before the CARD Act, a study by United College Marketing Services showed that college students received an average of 25 to 50 credit card solicitations each semester.

The Act also says that credit card issuers may not approve cards for students between the ages of 18 and 21 unless they apply for the card first. Students must submit proof of income when applying. If they are issued a card, the limit cannot be more than either $500 or 20% of the student’s annual income. If they have more than one card, the total limit must be equal to or less than 30% of their income unless they have a co-signer over the age of 21.

Add to Favorites:

Related News:

Credit CARD Act is Good for Consumers

By Elizabeth Nelson, Posted: December 19, 2012

The Center for Responsible Lending has issued a report detailing the impact of the Credit CARD Act of 2009. Continue reading
GAO Recommends Tougher Laws to Protect Students

By Nan Bauroth, Posted: March 14, 2014

The recent wave of agreements between colleges and non-bank providers of prepaid card services to market these products to students has sparked a call for more stringent laws and regulations. Continue reading
Bank of America Rewards Cardholders for Making Payments

By Elizabeth Nelson, Posted: March 05, 2013

A new credit card from Bank of America pays cardmembers up to $100 each year for making more than the minimum payment due on time every month. Customers can also get a $20 annual bonus if they have a savings or checking account with the ... Continue reading
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.
Unlimited 1.5x rewards on every purchase, every day. For every $1 you spend, you earn 1.5x Miles.
For Excellent, Good Credit
You could turn $200 into $400 with Cashback Match™. We’ll automatically match all the cash back you earn at the end of your first year. New cardmembers only.
For Excellent, Good Credit
Guaranteed $500 Unsecured Credit Limit
For Bad Credit