Bill Text: IL HB1581 | 2019-2020 | 101st General Assembly | Chaptered


Bill Title: Amends the Credit Card Marketing Act of 2009. Creates the College Student Credit Card Marketing and Debt Task Force. Provides legislative findings. Provides for the membership of the Task Force. Provides that the Department of Financial and Professional Regulation shall provide technical and administrative support and any other necessary assistance to the Task Force and shall be responsible for administering its operations and ensuring that the requirements of the provisions are met. Provides that the Task Force shall conduct a study on student credit card debt; specifies study requirements. Provides that the Task Force shall report the findings of the study conducted and any recommendations to the General Assembly on or before December 14, 2019, at which time the Task Force shall be dissolved. Repeals these provisions on November 1, 2020. Effective immediately.

Spectrum: Moderate Partisan Bill (Democrat 17-2)

Status: (Passed) 2019-06-28 - Public Act . . . . . . . . . 101-0033 [HB1581 Detail]

Download: Illinois-2019-HB1581-Chaptered.html



Public Act 101-0033
HB1581 EnrolledLRB101 04553 AXK 49561 b
AN ACT concerning education.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Credit Card Marketing Act of 2009 is amended
by adding Section 40 as follows:
(110 ILCS 26/40 new)
Sec. 40. College Student Credit Card Marketing and Debt
Task Force.
(a) The General Assembly finds the following:
(1) This Act was designed, in part, as an adaptation of
the federal Credit Card Accountability Responsibility and
Disclosure Act of 2009.
(2) In the intervening years since the adoption of
these Acts, it remains an open question as to the extent to
which the federal Credit Card Accountability
Responsibility and Disclosure Act of 2009 has been an
effective measure to eliminate issues of student credit
card debt.
(3) Student credit card debt is an important issue that
needs to be examined, with the goal of reducing the amount
of credit card debt a student faces after graduating from
an institution of higher education.
(b) There is created the College Student Credit Card
Marketing and Debt Task Force, which shall consist of the
following members:
(1) a representative of a statewide organization
representing credit unions licensed to operate in this
State, appointed by the Secretary of Financial and
Professional Regulation or his or her designee;
(2) a representative of a statewide organization
representing community banks licensed to operate in this
State, appointed by the Secretary of Financial and
Professional Regulation or his or her designee;
(3) a representative of a statewide organization
representing banks licensed to operate in this State,
appointed by the Secretary of Financial and Professional
Regulation or his or her designee;
(4) a representative of Southern Illinois University,
appointed by the president of that university or his or her
designee;
(5) a representative of the University of Illinois,
appointed by the president of that university or his or her
designee;
(6) a representative of Illinois State University,
appointed by the president of that university or his or her
designee;
(7) a representative of Eastern Illinois University,
appointed by the president of that university or his or her
designee; and
(8) a representative of the Office of the Attorney
General, appointed by the Attorney General or his or her
designee.
(c) The Task Force shall meet initially at the call of the
Secretary of Financial and Professional Regulation, upon
appointment of a majority of the members, to organize and to
select one member as chairperson, who shall be elected by a
majority vote of all of the members appointed to the Task
Force. The Task Force shall thereafter meet at the call of the
chairperson. All members shall serve without compensation, but
shall be reimbursed for their reasonable and necessary expenses
from funds appropriated for that purpose.
(d) The Department of Financial and Professional
Regulation shall provide technical and administrative support
and any other necessary assistance to the Task Force and shall
be responsible for administering the Task Force's operations
and ensuring that the requirements of this Section are met.
(e) The Task Force shall conduct a study that specifically
examines all of the following factors:
(1) The total cost of credit to credit card issuers for
students, as a percentage of the credit card's average
cycle-ending balance.
(2) The percentage of Illinois students who pay off
their credit card balances in full for at least 2
consecutive months.
(3) The percentage of Illinois students who carry
balances on their credit cards all or most of the time.
(4) The total amount of credit extended to individuals
between the ages of 18 and 21 in Illinois.
(5) The total amount of credit extended to students
pursuing an undergraduate education in Illinois.
(6) The average number of new credit card accounts
opened by a student pursuing an undergraduate education per
5-year increments, beginning with the 2005-2006 academic
year.
(7) The total number of annual mail solicitations of
pre-approved credit card offers targeted to individuals
who are between the ages of 18 and 21 years old, and the
annual percentage rates for those cards.
(8) The total number of online solicitations of
pre-approved credit card offers targeted to individuals
who are between the ages of 18 and 21 years old, and the
annual percentage rates for those cards.
(9) The total number of social media solicitations for
pre-approved credit card offers targeted to individuals
who are between the ages of 18 and 21 years old, and the
annual percentage rates for those cards.
(10) A list of individuals who are between the ages of
18 and 21 years old in this State who are targeted for
pre-screened credit card offers, categorized by the
percentage of students who are classified as Prime Plus,
Prime, Non-Prime, and High-Risk.
(11) The total number of credit cards issued to
students with the following add-ons: (i) debt protection,
(ii) identity or theft protection, and (iii) credit score
monitoring.
(12) The number of fee harvester credit cards marketed
annually to students, including a credit card that charges
a fee that exceeds 25% of the card's credit limit.
(13) The number of students who pay their monthly bill
solely through an online portal.
(14) The number of student accounts with reward
products providing points, including the value of the
points, the rate at which points are earned, and the rules
governing forfeiture of points.
The Task Force may consult with any persons or entities it
deems necessary to carry out the study under this subsection
(e).
(f) The Task Force shall report the findings of the study
conducted under subsection (e) of this Section and any
recommendations to the General Assembly on or before December
14, 2019, at which time the Task Force shall be dissolved.
(g) This Section is repealed on November 1, 2020.
Section 99. Effective date. This Act takes effect upon
becoming law.
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