New college credit policy

Recently, the Illinois State Academic Senate approved a new policy requiring general students to choose a major by the time they reach 75 hours of college credit-including transfer hours.

Effective Jan. 1, 2007 this policy will apply to all incoming ISU students.

I'm happy this policy has been implemented. By the time a student reaches 75 credit hours they are a second semester junior. School's almost finished. They should have a major!

However, many students fear that once they choose their major there is no turning back. This is a huge misconception.

The policy is intended to impel students to decide a plan of action and explore a path of study. If students evaluate their interests at the start of their freshman year, they should easily choose a major by the time sophomore year approaches.

The university offers a wide variety of services such as, "Find Your Major" meetings, career festivals and daily academic advising contact, which can aid in decision making.

In addition, ISU's 75 hour credit cap is extremely generous when compared with other universities. The University of Illinois has a 60 hour credit cap and Western Illinois University caps at 45 hours. When we look at the break down, it is obvious that incoming students have nothing to worry about.

If newbies exercise some responsibility and figure out what subjects they enjoy studying, there will be no problem when it comes time to choose their major.

Seventy-five hours is plenty of time.

Kim Behrens Junior Journalism Major

Credit cards can lead to a lot of debt

Spencer Jones has had a credit card since he was 18 years old.

But he hardly ever uses it.

“I’m afraid to because I don’t want to run the balance up,” said Jones, a Kentwood sophomore.

Not enough people utilize Jones’ philosophy, said Charles Walmsley, financial planner and finance and law professor.

College students often run into problems with credit card debt because they use them for everyday expenses, Walmsley said.

“The biggest mistake college students make when it comes to credit cards is living beyond their means,” he said. “They tend to spend more money than they have.”

The average college freshman carries $1,500 worth of credit card debt, according to a 2005 study by student loan company Nellie Mae, and 56 percent of undergraduates have obtained their first credit card by the age of 18.

“Credit cards are very easy to acquire for college students, making credit card debt prevalent for them,” Walmsley said. “Credit card companies will relax credit standards to take on more customers at a higher rate, like college students.”

Bills should be paid at the end of the month and first-time users should have cards that don’t allow the owner to carry a balance and that have a low credit limit, Walmsley said.

“College students are often the target for credit card companies because they are on their own for the first time and are in control of their own income and expenses,” he said. “Having a credit card in their own name makes them feel mature, and it should — they just need to use it wisely.”

Pinconning sophomore Serena Wiltse only has a debit card, which works similar to a credit card but the money comes directly out of her bank account.

“Students who have credit cards are more likely to end up in debt because it’s (the card) easier to pay with when you don’t have the money right then,” Wiltse said.

CO School Offers Beer 101 for Credit

It's a college student's dream come true: Beer 101 - for credit!

Students in the hospitality and restaurant administration program at Metropolitan State College of Denver are learning the art of beer in one of the only programs of its kind in the country.

When you think of college and beer, these kinds of imagines may come to mind: "Drink, drink, drink!"

But students are learning to appreciate beer on a whole different level.

Michael Wray, Restaurant and Culinary Administration, says, "We treat it just like an art and a science."

The Sandlot Brewery is their classroom, and their homework, tasting different types of beer!

Brewmasters are their teachers.

Brewmaster John Legnard says, "They can smell the brewery. They can see the brewery. They can taste the brewery."

Students learn the difference between German hellas, Irish stout, Belgium white and everything in between. They also learn the chemistry and biology of brewing.

Wray says, "It's an important part of a restaurateur to understand the different nuances in beer styles."

So they swirl it, sniff it, and taste it to analyze different styles and quality.

"After taking this class, I'm better prepared and might have an edge over someone who has similar background but doesn't understand scientific production of beer," says student David Weiss.

Legnard explains, "We try to take them from being just beer drinkers to beer geeks."

And as beer geeks, they take away a new appreciation for a frosty cold one and all that went into making it a fine brew.

Students will also design their own beers for a hypothetical brew pub. It's a six-week course, and the first part of the class includes a course on safety issues regarding serving and consumption of alcohol.

Students must be 21 or older to get into the class, and there's usually a waiting list.

Tourism fuels credit card industry growth

China credit card industry gets the major boost because of growing popularity among tourists. By 2020, the country is expected to become the leading tourism destination according to a report by Visa international.

With more and more visitors to China, credit cards such as Visa are becoming increasingly common.

"From 2006 to 2010, overseas tourists' Visa card spending is expected to soar to US$250 billion on the Chinese mainland," said Li Sheng, vice-president of Visa Information System (Shanghai) Co Ltd.

Last year, overseas tourists spent 239 billion yuan (US$29 billion) on the Chinese mainland, up 13 per cent year-on-year. Of last year's total, 22 billion yuan (US$2.75 billion) was spent using Visa cards. In the first half of 2006, the amount spent using Visa cards reached 11.76 billion yuan (US$1.38), up 4.1 per cent year-on-year.

"The credit card market in China is growing fast mainly because of increased spending," said Li.

Inbound tourists to China are mostly from the Asia-Pacific, Europe and the United States.

According to Li, the 2008 Olympics is expected to bring a 30 per cent increase in the Chinese mainland's foreign exchange income, with the figure reaching US$60 billion.

Shanghai was the most popular destination among mainland cities for Visa International cardholders in 2005, accounting for 22 per cent of total Visa spending. Beijing ranked second, followed by Shenzhen.

But growth in credit card use in small and medium-sized cities is the fastest, with Dongguan in South China's Guangdong Province notching up a 53 per cent year-on-year rise in 2005, while Suzhou and Xiamen in East China witnessed year-on-year increases of 38 per cent and 34 per cent in 2005.

"Foreign tourists are increasingly choosing such small cities as their destinations, as many have already been to the big cities," said Li.

Dongguan is a city known for its modern processing and manufacturing industry. Visa card spending in Dongguan last year was largely business-related, being concentrated on hotels, restaurants, bars and airlines.

Centennial students accused of unlawful card use

CHAMPAIGN – Three Centennial High School students are accused of having and using a credit card illegally.

Arraigned Wednesday on felony charges of unlawful use of a credit card were Larry McGowan, 18, who listed an address in the 500 block of Bonnymeade Drive; Michael Locksley, 18, who listed an address in the 3100 block of Sandhill Lane; and Travis Underwood, 18, who listed an address in the 2500 block of West William Street.

Judge John Kennedy advised all three that they are accused of illegal use of the credit card on Oct. 18 and Oct. 20 at the Clark Oil station at 2401 W. Springfield Ave., C. McGowan and Underwood also are accused of receiving a stolen, lost or mislaid credit card.

All three pleaded innocent to the charges and are due to return to court Dec. 19 for pretrial hearings. All three were released on their own recognizance.

According to the Champaign County state's attorney's office, a foreign exchange student from Holland attending Centennial reported on Oct. 26 that her missing credit card was being used without her permission.

The credit card had been used 31 times between Oct. 18 and 21 at gas stations and restaurants for nearly $800 in charges, according to Champaign police Detective Lisa Staples.

The female foreign exchange student did not notice that her card was missing until contacted by her father about an unusually large bill, Staples said.

Staples said some of the businesses had security cameras, and the Clark gas station owner identified the users of the card as Centennial football players.

Centennial Athletic Director Brian Easter then identified the users as the three teens, according to Staples. The investigation is continuing, she said.

Locksley and Underwood were members of Centennial's football team.

Locksley also was the top scorer on the Charger basketball team last season and participated – along with several other football players – in tryouts for the basketball team on Monday. Those tryouts continued Tuesday, but Locksley was not present for that session.

Easter said Wednesday that Locksley's status for basketball has yet to be determined.

He said Centennial officials would meet with all three students "and assess the situation from the school's standpoint and move forward from there."

Under Champaign school district policy, the student code of conduct applies to actions that take place on school grounds, during school hours and at school-sponsored events.

The charges against the three students would have to be connected to the school in one or more of those ways before the school district would take any disciplinary action or rule a student ineligible for extracurricular activities such as athletics.

"The first thing we have to do is get all the facts," Easter said. "We're waiting till the kids get back to school and we can sort through everything.

"We have to look at how the incident tied into school and then, after that, a determination will be made on how it affects athletics (eligibility)."

News-Gazette staff writer Jeff Huth contributed to this report.

This article is from news-gazette.com

Citizenship Of Former Ark. Grad Student Revoked

A former University of Arkansas graduate student from the Middle East lost his U.S. citizenship Thursday and was sentenced to 15 months in federal prison.

Arwah Jaber was previously acquitted of an aiding-terrorism charge but convicted of lesser offenses, including obtaining his citizenship fraudulently. He also was sentenced to three years supervised probation upon completion of his prison term.

Jaber, who was born in the West Bank, was arrested at the Northwest Regional Airport on June 14, 2005, as he prepared to leave on a trip to the Middle East. Prosecutors said he planned to join Palestinian Islamic Jihad, labeled by U.S. authorities as a terrorist organization.

Jaber was acquitted June 20 of attempting to provide material support to a terrorist organization. But the jury convicted Jaber of five lesser charges: obtaining his naturalization unlawfully, making false statements on passport and immigration applications, and two counts of making false statements on credit card applications.

Students struggle with credit card debt

by Grayson Steinberg

Bethany Ramsdell racked up $10,000 in debt on her credit cards over five years, regularly shopping at stores like Nordstrom and Victoria's Secret.

Ramsdell, a psychology senior, said credit card company marketing efforts at booths on campus helped entice her to get six credit cards.

"If they weren't there, I wouldn't have gone out of my way to sign up for [the cards]," she said.

Financial institutions market heavily to students like Ramsdell to win the future loyalty of customers with high-earning potential, said Tracy Clark, associate director for the JPMorgan Chase Economic Outlook Center at ASU.

"They realize that eventually college students are going to get good jobs," Clark said. "They want to build some familiarity now instead of waiting until it's too late."

Companies market to students by giving out free promotional items on campus and offering incentives for signing up, such as free points toward purchases, he said.

Universities can do little to prevent this, he added.

"Even if the University were to impose really strict guidelines, there's nothing you can do if they're five feet off campus," Clark said.

ASU allows any vendor to sell products on campus as long as the marketing is done in conjunction with a student organization, said Brett Perozzi, executive director of the Memorial Union.

While building bonds with potential future customers is important to credit card companies, college students aren't their biggest target audience, said Tracey Mills, a spokeswoman for the American Bankers Association.

Financial institutions market credit cards to baby boomers most often because of the increased likelihood they will pay their bills, Mills said.

"Most baby boomers have strong credit histories, and they have more assets," she said.

Marketing campaigns also don't often influence whether students spend money, Mills added.

"They're old enough to make decisions about their finances," she said. "The vast majority of college students manage their credit wisely."

Nursing sophomore Ashley Spencer keeps track of her finances weekly by writing down how much she spent and where.

She also has only a $200 balance on her Visa credit card.

"If I don't think I really need it, I won't buy it," Spencer said.

There's also evidence that other college students continue building up credit card debt, but at a lower rate than in the past, according to Nellie Mae, a major student loan provider and debt management firm.

By 2004, the average outstanding undergraduate credit card balance fell to about $2,200 from $2,700 in 2000.

Students get into trouble with credit cards because they often have inconsistent sources of income and use the cards for times when they have little money coming in, Clark said.

They also tend to lose track of how much they spend, he added.

"If you're standing there looking at this really cool piece of electronics and all you have to do is flip out the credit card, you have to say, 'Gee, it's not really worth it,'" Clark said.

Ramsdell said she regrets collecting as much debt as she did and has closed all her credit card accounts.

She has also consolidated all her debt and got it reduced to about $5,500, which she has to repay over the next two years.

"If I had paid along the way, I wouldn't have to worry about it," Ramsdell said.

Intensified competition in cards results in waste

According to statistics from the People's Bank of China, banks have, to date, issued 20 million credit cards in more than 20 kinds on the Chinese mainland. There are 12 million personal card holders, accounting for one percent of the total population.

Competition in the credit card market has intensified to its most fierce. More banks joined the war by launching series of new credit card products, particularly since the beginning of this year. For instance, China Everbright Bank, whose credit card center was just set up in the latter half of 2005, had issued 500,000 cards by October 10.

This year alone, it issued seven kinds: Yanhuang, Sunshine Commercial, World Cup Theme, Zhengzhou Zhengda Garden Sponsored, Fu Card, Ruyi Sanbao and Golf UnionPay credit cards. The China CITIC Bank issued six products: AirChina, Magic Gold, CITIC Star, Southern Fund, World Cup and Student I cards. The largest card issuer, China Merchants Bank, launched its ANA credit cards, in cooperation with Japanese airline ANA.

Customized college credit cards raise concerns

FORT MYERS: Customized college credit cards are becoming the new way for students and alumni to show their team spirit and it is also becoming a plastic cash cow for universities. But what the school officials are doing in return for the advertising may be putting the customers at risk.

School officials are striking deals with banks to offer co-branded credit cards, but part of the deal includes selling student information. Some critics say they are also selling student privacy.

Hundreds of schools, including the top 10 largest universities, are banking on their students and alumni to show their pride with so-called affinity cards.

"The cards are a great way to promote the school. It provides a lot of visibility for the institution," said Roger Williams with the Penn State Alumni Association.

But the cards are not only good for advertising, they bring in money for the school as well.

Penn State was one of the first schools to team up with banks that offer customized cards. Now, the school gets an annual fee for partnering in the program.

"There are incentives in the contract, such that, if balances achieve a certain level, there is a bonus payout," said Williams.

School officials say they use the money to help fund things like scholarships, school activities, and libraries.

But Travis Plunkett, of the Consumer Federation of America, explained it is what the schools must do in return that have some consumer advocates concerned.

"In exclusive marketing arrangements, universities often give the names of the students to the credit card companies," said Plunkett.

"They must offer either mailing addresses, as well and in some cases telephone numbers, and even email addresses," said Robert Manning, credit card expert and author of, "Credit Card Nation."

Consumer advocates argue the move violates students' privacy. However, Williams claims credit card companies will find new ways to reach undergrads with or without help from schools.

"The credit card companies, nation over, are fairly adept at assembling massive mailing lists of college students. What our program does is to sort of channel that into a program that's going to make things better for the university," said Williams.

"My ultimate concern is that nobody wants to be accountable for the social impacts of those students who can least afford the responsibilities of credit card debt," said Manning.

Plunkett says his main worry is that students will become so caught up in what is on the front of the card, they will pay little attention to the terms.

"We're very concerned that they won't be looking hard at the fine print of these offers and sometimes the fine print is scary," said Plunkett.

In Southwest Florida, neither Edison College nor Florida Gulf Coast University participate in a credit card program.

The University of Florida does, but the alumni association handles the agreement. Florida State has the same setup. Both universities have several restrictions including limiting when credit card companies can solicit business and they must have a counselor available to talk to students about credit card debt.

By - Paul LaGrone

College Student Credit Cards Comprehensive Guide for Students

To help students and their parents learn more about credit cards, CreditCardAssist.com has recently launched a comprehensive guide to college student credit cards.

Student credit cards are credit cards, not surprisingly, marketed toward individuals going to college. Typically, college students typically do not have much in the way of a credit history, which makes it somewhat difficult to get approval for a credit card. So in order to help college students and their parents learn more about credit cards for college students, including how to properly select one and how to stay out trouble with credit card debt, CreditCardAssist.com has recently launched a comprehensive guide to college student credit cards ( http://www.creditcardassist.com/student/creditcards.html ).

CreditCardAssist.com, a Los Angeles-based company that is owned and operated by Optimum Interactive, has long been a leader in the field when it comes to educating consumers about credit cards. The extensive library of articles ( http://www.creditcardassist.com/articles.html ) on the site is invaluable to those interested in learning more about taking control of their personal finances, while the extensive database of credit cards makes it simple for consumers to perform side-by-side comparisons of various cards. The recent addition of the guide to credit cards for college students is just one more method used by the company to better educate consumers.

“We understand that there are many students going off to college who may not have any type of credit history,” said Rob Willard, Managing Director of Optimum Interactive. “Yet, in today’s world, it is very difficult to manage your personal finances without the use of a credit card. Especially for financial emergencies that might come up, college students really need to have a credit card when they head off to school. At the same time, if the card is used irresponsibly, it can quickly lead to an overwhelming amount of debt. We want to help college students and their parents when it comes to selecting a student credit card, while also providing them with sound advice for using it responsibly. This is why we decided to add a guide to student credit cards to our website.”

When it comes to selecting a student credit card, students and their parents will have two broad categories to choose from: prepaid student credit cards or traditional student credit cards. With prepaid credit cards for college students, the parent or the student must “load” money onto the card ahead of time. The spending limit is then limited to the amount of money pre-loaded on the card beforehand. This is an excellent way for parents to provide the student with an allowance while preventing a pile up in debt. But parents also need to understand that prepaid cards require more fees and charges than a traditional unsecured credit card will require.

With traditional student credit cards, the student will receive a line of credit, usually a much smaller limit than a traditional credit card which is typically somewhere between $500 to $1000 dollars. The student does, however, need to be responsible with a traditional student credit card in order to avoid becoming buried in debt.