KTVN Channel 2 - Reno Tahoe News Weather, Video - Credit Card Crackdown Could Change College Business
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The federal government's crackdown on credit cards will mean some changes on the way students do business on college campuses across the country including UNR.
In fact, they use their cards for everything from tuition to books to weekend partying. And that adds up. According to Sallie Mae college students spend an average of $2,200 a year on credit.
The problem really comes when they have to pay it all back. "I only have one card and I use it responsibly," says Christina Mackenzie at UNR. "But I have friends who are like $20,000 in debt. And they're only freshmen!"
"We have seen a huge increase in the use of plastic here," says Marie Stewart manager of UNR's bookstore. "They use cards for everything even just a charge for forty cents!"
UNR's bookstore has been proactive in trying to cut down on credit card advertising luring student. And the school has a wolf card system, like an on-campus ATM that allows students to pay for things with plastic.
But no new credit cards will be issued to anyone under 21 without a co-signer. That's part of the Credit Card Reform Act that goes into effect Monday, February 22nd.
