The Federal Reserve System now reports the royalties earned by colleges and universities from various “affinity” credit card programs. These are credit cards marketed and issued to students and alumni that feature the colleges’ logos.
The Board received a total of 1,044 college credit card agreements from seventeen credit card issuers for its first report issued in 2010. In 2009, these issuers made total payments of $83,462,712 to institutions and organizations pursuant to these agreements. The total number of new college credit card accounts opened pursuant to these agreements during 2009 was 53,164. The total number of college credit card accounts opened pursuant to these agreements during or prior to 2009 that remained open as of December 31, 2009, was 2,008,714.
You can download the current report at: http://www.federalreserve.gov/BoardDocs/RptCongress/creditcard/2011/downloads/ccap_2011.pdf
This is one of the new requirements in accordance with Section 305 of the Credit Card Accountability Responsibility and Disclosure Act of 2009 (the “Credit CARD Act”).
(2009). Section 305(a) of the Credit CARD Act requires the Board to submit to the Congress, and to make available to the public, an annual report that lists certain information submitted to the Board concerning agreements between credit card issuers and institutions of higher education (“institutions”) or certain affiliated organizations, such as alumni associations or foundations, that provide for the issuance of credit cards to college students (“college credit card agreements” or “agreements”).
Pursuant to Title X of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, responsibility for collecting and submitting to the Congress annual reports regarding college credit card agreements will transfer to the newly-established Bureau of Consumer Financial Protection on the designated transfer date, July 21, 2011.
Information included in this report is also available on the Board’s public website at www.federalreserve.gov/collegecreditcardagreements . In addition, under Section 304 of the Credit CARD Act and the Board’s implementing regulations, 12 C.F.R. § 226.57(b), the public can obtain college credit card agreements between a card issuer and an institution of higher education directly from the institution.