NEW JERSEY PASSES LEGISLATION BANNING UNSOLICTED CREDIT CARDS AND CHECKS.(parliamentary process)(Brief Article)

The New Jersey Senate yesterday passed a bill that prevents card issuers from mailing unsolicited credit cards and checks to the state's residents, New Jersey Assemblyman Larry Chatzidakis, the bill's prime sponsor, tells CardLine today. All 40 members of the Senate voted in favor of the bill, which the state's General Assembly passed 79-0 March 11 ew Jersey Sen. Diane Allen, another of the bill's sponsors, says the two pieces of legislation will have to be reconciled before being sent to New Jersey Gov. Jim McGreevy. Allen and Chatzidakis believe McGreevy will sign the legislation once he receives the final bill. Major credit card issuers generally do not mail unsolicited credit cards to Garden State residents, but some department stores have continued the practice, says Allen, who knows from personal experience. "I received an unsolicited credit card from a department store a couple of months ago," she tells CardLine. The New Jersey Legislature acted because of its concern about the growing crime of identity theft. "An unsolicited card could easily fall into the wrong person's hands," Chatzidakis says. "This is a way to protect consumers who could become identity-theft victims." According to the bill, a person who receives an unsolicited credit card or checks is not responsible if someone else uses them. The liability reverts to the issuer, Allen says. If signed into law, the bill also calls for an escalating series of fines against the offending issuer. For the first offense, a card issuer is fined $10,000.

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