The shooting happened around 8:00 a.m. in the first block of Hunter Street in the Crestbury Apartments.
The child was taken to Cooper University Hospital and is expected to survive.
The bullet wounded the child in the nasal area, but fortunately seems to have avoided hitting his brain.
The 12-year-old was bleeding profusely from the face, a witness told Action News, but was conscious and standing when medical help arrived.
The Camden County Prosecutor's Office said an 11-year-old fired the weapon, but the circumstances remain under investigation.
"It appears we had an 11-year-old accidentally shoot a 12-year-old, his friend, in the face. The 12-year-old was rushed to Cooper University Hospital, and it appears child was stabilized. We have the 11-year-old and his parents fully cooperative trying to get to bottom of what happened," Chief Scott Thomson.
A mother of small children heard the 12-year-old screaming.
"It's terrible now days," said Maira Morales. "Little boys starting to shoot, it's really terrible."
The 6th grade boys attend the H.B. Wilson School, and many of the parents are shaking their heads wondering how the kids got access to a loaded gun.
"It was in house, the parents should be liable," said Tiffany Wilkerson.
"That's why I tell my husband I don't want weapons in the house you never know, anybody could use it. You never know about an accident," said Nelie Rodriguez.
A spokesman for the police department also questioned access.
"At the heart of what occurred is the fact that a juvenile had access to a firearm," said Dan Keashen.A 19-year-old relative of the victim was in the apartment with the boys when the shooting occurred.
Police are working to figure out who owns the gun. There are laws in New Jersey that require gun owners to keep guns safe from children, by either keeping it in a safe place or keeping it locked.
Police say, at this time, the shooting appears to be accidental.