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#1725906 - 08/01/12 04:18 PM ODP for students
UTBPMOM Offline
Member
Joined: Sep 2005
Posts: 73
With the restrictions on credit cards for students-are there any issues with having a student checking account with an ODP limit?

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#1725957 - 08/01/12 05:17 PM Re: ODP for students UTBPMOM
John Burnett Offline
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John Burnett
Joined: Oct 2000
Posts: 39,593
Cape Cod
Legally, as long as the kid is an adult, I see no problem. In some states and under limited conditions, it might be legally OK for a minor, although I think I'd steer clear.

I'd be very wary of offering ODP protection in the form of an overdraft payment program for students unless you had very low limits, a generous de minimis provision and a tight (low) fee cap. I'd also monitor the heck out of it to ensure the student doesn't abuse (or become abused by) the program.

With the CFPB's current focus on the costs of education and overdraft programs, promoting an overdraft payment program for students might be the equivalent of throwing gasoline on a bonfire.
Last edited by John Burnett; 08/01/12 05:18 PM. Reason: oops
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#1726605 - 08/02/12 05:17 PM Re: ODP for students UTBPMOM
GoGreen Offline
Gold Star
Joined: Dec 2007
Posts: 288
PA
We always look at state laws as who is able to sign a contract and legal age.

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#1726671 - 08/02/12 06:24 PM Re: ODP for students UTBPMOM
UTBPMOM Offline
Member
Joined: Sep 2005
Posts: 73
thank you for the feed back

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