The End of Credit Card Marketing on Campus?
| August 25, 2009 |
As school has started for many college students and is about to start for millions of others, one can only imagine how the impending CARD Act will affect credit card issuers’ marketing campaigns on these campuses for the Fall 2009 semester. For these issuers, this will be the last semester that certain practices can be used and incentives can be given to lure college students to apply for their credit cards when thinking about starting the long road of credit building.
As many issuers gear up for the major changes on campus due to the Credit Card Accountability, Responsibility and Disclosure Act, there has not been much mention by credit card issuers concerning their current and future approach toward college students. Due to this, there are many experts that believe compliance with the new law will be too expensive and difficult with the end result leading to discontinuing to market cards to students.
So will the CARD Act cause credit card issuers to abandon those that are under twenty one altogether? I don’t believe they will and here is why. In many accounts and purposes those under twenty one are the future revenue for the credit card issuer. There is no other time to start a relationship with the consumer than early on because if all goes well they may be a customer for life.
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