Just in case students don’t slog through college with enough debt hanging over them, their colleges and universities have cut semi-secret deals with banks to share personal info meant to market credit to them afterward. The Huffington Post says Bank of America has such deals with 700 schools.
There’s a provision in the agreements that students who carry a balance from year to year make more money for their schools. The story says the CARD act requires disclosure of such deals, but few schools are coughing up the info easily.
So even if you’re too stingy to donate to your school’s alumni fund, be comforted that your school was probably getting a cut of your interest.
As Student Credit Card Debt Rises, Banks Quietly Reward Schools [The Huffington Post]