S T A T E O F N E W Y O R K ________________________________________________________________________ 173 2009-2010 Regular Sessions I N A S S E M B L Y (PREFILED) January 7, 2009 ___________ Introduced by M. of A. JEFFRIES, WRIGHT, PERRY, GLICK -- Multi-Sponsored by -- M. of A. ALFANO, BENJAMIN, CLARK, COOK, FIELDS, HEVESI, HOOPER, JOHN, MILLMAN, PEOPLES, PERALTA, J. RIVERA, ROBINSON, TOWNS, WEISEN- BERG -- read once and referred to the Committee on Banks AN ACT to amend the banking law and the education law, in relation to prohibiting the state university of New York and the city university of New York from permitting any persons to solicit persons to become holders of credit cards unless credit education courses are provided THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. The banking law is amended by adding a new article 17 to 2 read as follows: 3 ARTICLE XVII 4 CREDIT CARD SOLICITATION; CREDIT EDUCATION COURSES 5 SECTION 9500. PROHIBITION OF SOLICITING PERSONS TO BECOME CREDIT CARD 6 HOLDERS AT THE STATE UNIVERSITY OF NEW YORK UNLESS CRED- 7 IT EDUCATION COURSES ARE PROVIDED. 8 9501. PROHIBITION OF SOLICITING PERSONS TO BECOME CREDIT CARD 9 HOLDERS AT THE CITY UNIVERSITY OF NEW YORK UNLESS CRED- 10 IT EDUCATION COURSES ARE PROVIDED. 11 S 9500. PROHIBITION OF SOLICITING PERSONS TO BECOME CREDIT CARD HOLD- 12 ERS AT THE STATE UNIVERSITY OF NEW YORK UNLESS CREDIT EDUCATION COURSES 13 ARE PROVIDED. THE STATE UNIVERSITY OF NEW YORK SHALL NOT PERMIT ANY 14 PERSON, INCLUDING AN ISSUER OF CREDIT CARDS, AS DEFINED IN SUBDIVISION 15 THREE OF SECTION FIVE HUNDRED ELEVEN OF THE GENERAL BUSINESS LAW, TO 16 SOLICIT PERSONS ON THE PROPERTY OF THE STATE UNIVERSITY OF NEW YORK TO 17 BECOME HOLDERS OF CREDIT CARDS, NOR SHALL THE STATE UNIVERSITY OF NEW 18 YORK ENTER INTO ANY AGREEMENT ALLOWING ANY PERSON TO SOLICIT PERSONS TO 19 BECOME HOLDERS OF CREDIT CARDS THROUGH THE STATE UNIVERSITY OF NEW YORK, 20 UNLESS SUCH PERSON OFFERS AND PROVIDES COURSES IN CREDIT EDUCATION TO EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD00328-01-9 A. 173 2 1 STUDENTS ENROLLED IN THE STATE UNIVERSITY OF NEW YORK. SUCH COURSES 2 SHALL BE GIVEN IN ACCORDANCE WITH RULES AND REGULATIONS TO BE PROMULGAT- 3 ED BY THE COMMISSIONER OF EDUCATION. 4 S 9501. PROHIBITION OF SOLICITING PERSONS TO BECOME CREDIT CARD HOLD- 5 ERS AT THE CITY UNIVERSITY OF NEW YORK UNLESS CREDIT EDUCATION COURSES 6 ARE PROVIDED. THE CITY UNIVERSITY OF NEW YORK SHALL NOT PERMIT ANY 7 PERSON, INCLUDING AN ISSUER OF CREDIT CARDS, AS DEFINED IN SUBDIVISION 8 THREE OF SECTION FIVE HUNDRED ELEVEN OF THE GENERAL BUSINESS LAW, TO 9 SOLICIT PERSONS ON THE PROPERTY OF THE CITY UNIVERSITY OF NEW YORK TO 10 BECOME HOLDERS OF CREDIT CARDS, NOR SHALL THE CITY UNIVERSITY OF NEW 11 YORK ENTER INTO ANY AGREEMENT ALLOWING ANY PERSON TO SOLICIT PERSONS TO 12 BECOME HOLDERS OF CREDIT CARDS THROUGH THE CITY UNIVERSITY OF NEW YORK, 13 UNLESS SUCH PERSON OFFERS AND PROVIDES COURSES IN CREDIT EDUCATION TO 14 STUDENTS ENROLLED IN THE CITY UNIVERSITY OF NEW YORK. SUCH COURSES SHALL 15 BE GIVEN IN ACCORDANCE WITH RULES AND REGULATIONS TO BE PROMULGATED BY 16 THE COMMISSIONER OF EDUCATION. 17 S 2. The education law is amended by adding a new section 355-d to 18 read as follows: 19 S 355-D. PROHIBITION OF SOLICITING PERSONS TO BECOME CREDIT CARD HOLD- 20 ERS UNLESS CREDIT EDUCATION COURSES ARE PROVIDED. THE STATE UNIVERSITY 21 OF NEW YORK SHALL NOT PERMIT ANY PERSON, INCLUDING AN ISSUER OF CREDIT 22 CARDS, AS DEFINED IN SUBDIVISION THREE OF SECTION FIVE HUNDRED ELEVEN OF 23 THE GENERAL BUSINESS LAW, TO SOLICIT PERSONS ON THE PROPERTY OF THE 24 STATE UNIVERSITY OF NEW YORK TO BECOME HOLDERS OF CREDIT CARDS, NOR 25 SHALL THE STATE UNIVERSITY OF NEW YORK ENTER INTO ANY AGREEMENT ALLOWING 26 ANY PERSON TO SOLICIT PERSONS TO BECOME HOLDERS OF CREDIT CARDS THROUGH 27 THE STATE UNIVERSITY OF NEW YORK, UNLESS SUCH PERSON OFFERS AND PROVIDES 28 COURSES IN CREDIT EDUCATION TO STUDENTS ENROLLED IN THE STATE UNIVERSITY 29 OF NEW YORK. SUCH COURSES SHALL BE GIVEN IN ACCORDANCE WITH RULES AND 30 REGULATIONS TO BE PROMULGATED BY THE COMMISSIONER. 31 S 3. The education law is amended by adding a new section 6204-b to 32 read as follows: 33 S 6204-B. PROHIBITION OF SOLICITING PERSONS TO BECOME CREDIT CARD 34 HOLDERS UNLESS CREDIT EDUCATION COURSES ARE PROVIDED. THE CITY UNIVERSI- 35 TY OF NEW YORK SHALL NOT PERMIT ANY PERSON, INCLUDING AN ISSUER OF CRED- 36 IT CARDS, AS DEFINED IN SUBDIVISION THREE OF SECTION FIVE HUNDRED ELEVEN 37 OF THE GENERAL BUSINESS LAW, TO SOLICIT PERSONS ON THE PROPERTY OF THE 38 CITY UNIVERSITY OF NEW YORK TO BECOME HOLDERS OF CREDIT CARDS, NOR SHALL 39 THE CITY UNIVERSITY OF NEW YORK ENTER INTO ANY AGREEMENT ALLOWING ANY 40 PERSON TO SOLICIT PERSONS TO BECOME HOLDERS OF CREDIT CARDS THROUGH THE 41 CITY UNIVERSITY OF NEW YORK, UNLESS SUCH PERSON OFFERS AND PROVIDES 42 COURSES IN CREDIT EDUCATION TO STUDENTS ENROLLED IN THE CITY UNIVERSITY 43 OF NEW YORK. SUCH COURSES SHALL BE GIVEN IN ACCORDANCE WITH RULES AND 44 REGULATIONS TO BE PROMULGATED BY THE COMMISSIONER. 45 S 4. This act shall take effect on the first of September next 46 succeeding the date on which it shall have become a law; provided that 47 the commissioner of education is immediately authorized and directed to 48 promulgate, amend and/or repeal any rules and regulations necessary to 49 implement the provisions of this act on such effective date.