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Companies not allowed to solicit students on campus

BY SCOTT FITZGERALD, THE SOUTHERN

Friday, August 10, 2007 7:05 AM CDT

CARBONDALE - Southern Illinois University Carbondale took action a few years earlier to remove itself from student credit card solicitation - a problem that embroiled many major universities.

"Southern Illinois University does not allow credit card companies on campus to solicit to students. The university does not sell names to credit card companies," said Rod Sievers, SIU chancellor's office spokesman.

Sievers said he is not sure when SIU banned credit card companies from soliciting on campus.

"They were banned several years ago. SIU took action on its own," Sievers said when asked if the university's action was the result of a state statute or other similar piece of legislation.

Sievers' response further cleared the air for SIU, which is one of 40 universities currently being investigated by the New York Attorney General's office in connection to deals the schools had with a student loan provider.

SIU had entered into a promotional contract last year with Student Financial Services, doing business as University Financial Services, to allow the loan consolidation service to promote itself at Saluki athletic events and on the SIU athletic department Web site.

A troubling clause that led SIU officials to eventually renege on the contract stated that after 133 SIU students had signed with the loan provider, UFS would pay SIU an additional $75 per student for new applications thereafter.

SIU never exchanged money with SFS, Sievers said.

The university conducted a survey of an SIU undergraduate population in 2003 as part of a financial education program from University of Illinois to get a new credit card debt-counseling program established here and at other universities.

SIU does not currently have a credit card debt-counseling program. Students who have problems with managing their credit cards can get counseling through the SIU counseling center.

scott.fitzgerald@thesouthern.com

351-5076