You’ve seen them everywhere around San Diego State University. Thetables have signs that read “Free Gifts.” Students wander over to seewhat kind of gifts are offered. That’s when credit card companiesstart to make money.
The Associated Students and a California state senator wanttougher restrictions on credit card companies who solicit on campus.A bill pending in the California Senate would change the way thesecompanies do business on campus.
Senate Bill 796 would request that all higher education systems,including the California State University and University ofCalifornia systems, develop policies regarding the on-campusmarketing of credit cards. Individual colleges and universities wouldaddress the issue based on the particular campus environment.
SDSU already has a policy governing credit card marketing oncampus. Only one company is allowed to do so — First USA. But thatdoesn’t stop other companies from setting up shop on campus or nearcampus.
Susan Schenkel, administrative assistant for Aztec Shops, said thelower patio next to the West Commons is a common area for vendorsworking without permits.
“We’ve received four or five phone calls in the past three weeksregarding credit card companies soliciting on campus without apermit,” she said.
The University Police is called in to remove unauthorized vendors.
Jason Rollingson, A.S. Vice President of External Affairs, saidcredit card vendors usually set up tables on the other side of thepedestrian bridge near Domino’s, Rubio’s and KB Books.
He said the External Affairs Board will be sending letters tolocal businesses to discourage credit card companies from marketingnearby campus.
Rollingson said he wants to see more restriction on credit cardmarketers.
“Many credit card companies are using free T-shirts and phonecards as a way to target students,” Rollingson said. “This practiceis putting students into debt.”
The United States Public Interest Research Group survey of collegestudents and credit cards said students who obtained their cards atcampus tables had higher unpaid balances than those who obtained themelsewhere.
Associate Vice President of Business Enterprises Joe Vasquez saidthe university is examining campus credit card marketing and itsimpact on students. The Business Enterprises office has drafted aninformation packet to help educate students on credit and debt.
“We drafted this to make students be cautious about credit,”Vasquez said. “It’s an informational piece to help them make surethey know what they are signing up for.”
If passed, SB 796 would:
Prohibit marketers from offering free gifts to students for filling out credit card applications unless the student has first read a credit card brochure prepared either by the college or a non-profit credit card or debt education organization. Require credit card companies who market on campus to register with the campus administration. Require that credit card education brochures to be included in shopping bags at campus bookstores. Require that credit card and debt education sessions would be integrated in campus programs.
