03RS HB228


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HB 228/FN (BR 829) - J. Richards, M. Denham, C. Hoffman, R. Meeks, T. Riner

     AN ACT relating to credit card solicitations.
     Create new sections of KRS Chapter 367 to require credit card issuers to register with a designated official of a postsecondary institution prior to soliciting students on a college campus; require the registration to include the principal place of business of the credit card issuer and to be in such form as required by administrative regulation of the Council on Postsecondary Education; state that an application for a credit card executed by a student who was solicited for the card on a college campus shall be void and unenforceable unless the parent or legal guardian of the student consents in writing to the student's submission of the application; state that parental consent shall not be construed as an agreement by the parent or guardian to be liable under the credit card agreement unless the parent or guardian specifically agrees in writing to do so; prohibit a credit card issuer from taking any debt collection action against the parent or legal guardian of a student for whom a credit card has been issued unless the parent or guardian has agreed in writing to be liable for the debts of the student and make a violation of this prohibition an unfair trade practice under KRS 367.170; prohibit a credit card issuer from offering gifts or other promotional incentives on the campus of an institution of postsecondary education to any student through direct face-to-face contact, in order to entice the student to apply for a credit card; require the credit card issuer to verify the identity and age of the student to be solicited; create an exemption for banks and credit unions located on the campus of an institution of postsecondary education if the solicitation is made within the office of the bank or credit union; declare it unlawful to issue a credit card to any student whose application for credit is obtained as a result of actions prohibited by this Act; state that this Act shall be known and may be cited as the College Campus Credit Card Solicitation Act.

     Jan 10-introduced in House
     Feb 4-to Labor and Industry (H)
     Feb 5-posted in committee
     Feb 11-reported favorably, 1st reading, to Calendar
     Feb 12-2nd reading, to Rules
     Feb 18-posted for passage in the Regular Orders of the Day for Wednesday, February 19, 2003
     Feb 21-3rd reading, passed 96-0
     Feb 24-received in Senate
     Feb 27-to Banking and Insurance (S)
     Mar 6-reported favorably, 1st reading, to Consent Calendar
     Mar 10-2nd reading, to Rules

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