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When the pendulum swings in either direction, it goes to extremes. That's exactly what has happened in the finance industry in the last year or so. Not since the 1930s has there been more legislation passed affecting money and banking. Many of these changes have been enacted with the intent of providing better consumer protections and more integrity in our financial systems. The result for campus financial professionals is that the 3 R's of Campus Payments^SM are now RULES, REGULATIONS, and REFORM:

These rules and regulations will have a significant impact on campuses everywhere. They will affect the way we implement and evaluate systems for electronic payments, billing, student financial aid, convenience fees, payment plans, student loans, electronic refunds, and more. Without a doubt, there will be unintended consequences. They will change our assumptions about processing methods and their costs and benefits. These consequences, however, will create new opportunities for those paying attention.

In my next several Toughey Talks Payments emails, I'll address issues that colleges and universities (and their payment providers) face in light of today's 3 R's of Campus Payments. I'll start with a look at credit cards and the impact of both the CARD Act and the recently enacted Dodd-Frank Act. I'll also address an investigation into credit/debit card marketing practices on college and university campuses opened last week by Andrew Cuomo, the Attorney General of the State of New York. The pendulum is still in motion. Stay tuned.