Ask Reggi Your Question Now
Can you summarize NJST 18A:3C-3?
Provision of program of education on responsible use of credit.
Short Summary
This provision requires credit card issuers with an approved registration to provide a one-time, on-campus program of education on the responsible use of credit to students of a campus of an institution of higher education. The program of education must include a full explanation of the financial consequences of not paying off credit card balances in full within the specified time to avoid interest charges, as well as an explanation of how the credit card issuer computes interest on unpaid balances. It should also cover the impact of a shift from an introductory or initial interest rate to a higher ongoing interest rate, including the exact time when the higher rate takes effect and the actions that trigger the shift. Additionally, the program should explain how long it would take to pay off various balance amounts by making minimum monthly payments, provide a full explanation of credit-related terms, and discuss the prudent uses of credit and the consequences of imprudent uses as presented by recognized consumer credit counseling agencies.
Whom does it apply to?
Credit card issuers who solicit applications for credit cards on a campus of an institution of higher education
What does it govern?
Program of education on responsible use of credit
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
New Jersey