This issue brief, from the SPBC and the Consumer Financial Transactions Clinic at the University of North Carolina, School of Law, examines how the Department of Education can more fully implement rules already on the books to crack down on abuses in the market for school-sponsored prepaid cards and debit cards. These cards are meant to help students access Title IV funds, but industry regularly sneaks in excessive and unfairly structured fees that can cost students hundreds of dollars a year.
The brief lays out the steps ED can take using its authority under the law and rules already on the books since 2015 to weed out borrower harm.
Read the Memo: Campus Debit and Prepaid Cards and the Best Financial Interest Standard
Read the Letter: Dear Colleague Letter
Read the Blog: It’s Time for the Department of Education to Protect Students from Abusive Campus Cards