Reports say that New York Attorney General Andrew Cuomo wrote letters this week to colleges and universities across the state, requesting that they submit any information on contracts they have with credit card companies. The Credit Card Accountability, Responsibility and Disclosure (CARD) Act, which went into full effect on August 22, prohibits young adults from applying for credit without an adult co-signer or the financial means to repay the debt.
Cuomo’s goal is to identify issuers that may still be luring young adults into applying for credit cards, Bloomberg reports. The industry has been criticized in the past for soliciting students on campus and offering freebies to those who sign up for credit.
“Today’s students are facing a growing mountain of debt that can burden them long after graduation,” Cuomo told Bloomberg. “As the new school year begins, we want to make sure that colleges and universities are doing all that they can to help students avoid financial dangers.”
