Remedy for The Problem of Credit Cards on Campus
A Remedy for The Problem of Credit Cards on Campus
By: Sandra Darling, contributing writer at StudentCreditCards.com
A Remedy for The Problem of Credit Cards on Campus has arrived in the form of StudentCreditCards.com and here’s why. On February 22, 2010 new rules went in affect for credit card companies and college students in particular. The C.A.R.D. Act signed in to law by president Barack Obama calls for change, interesting changes, four of which we have listed and addressed below.
IF YOU WANT TO APPLY: View the available Student Credit Cards
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FOUR Changes brought on by the CARD Act:
● Allow consumers under 21 to get credit cards only if a parent or other adult co-signs or if the applicant can prove they have the independent means to repay credit card debt.
Over 50 percent of consumers, not excluding college students, are gainfully employed. Does this mean scanning and emailing your last pay stub including year-to-date numbers will qualify a person under 21 for a credit card? Everybody should stay away from credit cards if they don’t have a steady job. The only children and the baby, and maybe the middle child, all posses the jedi skills needed to get their parents to co-sign. Perhaps the e.Generation is being underestimated.
● Require disclosure of agreements that authorize collegiate affinity cards, including the details on royalty payments and mailing lists.
This sounds a bit fishy. Does this mean the College will make more money off of their school labeled credit card when students USE them? An explanation from Timothy Geitner would help. Well, maybe not.
● Prohibit card issuers from offering freebies like food or trinkets when marketing on campus.
FINALLY. Most college students have been approached, re-approached and re-re-approached by these giveaway your future salesmen with the plastic smiles. But, again, do not underestimate Gen.E. They do most everything online now.
● Stopped prescreened credit card offers for consumers under 21, unless student specifically opts-in and banned credit limit increases without permission of a parent or other co-signer.
Stopping pre-screened credit card offers will save trees. No more junk mail from credit card companies is all and good but what about e-mails. Can Major Bank A send email offers to people under 21? Can college students receive non-incentive credit card offers by e-mail if they have Opted-In to receive them? The real seed of this issue is approached vs approach. There seems to be an agreement among e.Generation college students indicating they do not like to be approached. However they do instinctively approach what they want when they are ready. They approached college, got admitted and are smart smart.
To sum things up some good has come out of all of this CARD ACT. And it is a free comparison site started by a former student. The website, StudentCreditCards.com has a fairly simple remedy to the problem of credit card companies on campus. Today College students and their parents can approach the site tocompare and apply for student credit cards online at www.studentcreditcards.com when they are ready to do so.
Student credit cards.com @ March 31, 2010