Should banks be allowed on college campuses soliciting applications for credit cards?

From the moment college students step on campus, they are bombarded by credit card companies that want to give them airline miles and free t-shirts if they apply for a credit card. The average student racks up over $1,500 by the end of their freshman year. Many activists stress that the major banks are poaching a vulnerable market of teens that are unlikely to be able to pay their balance on time. They believe it is unethical for companies to be on campus. Other activists aim to educate students on how to effectively manage their credit rather than discouraging them from having a card at all.

Many credit card companies are being charged with using overly complex charging systems and fee assessment. In a recent study, a usability consultant for the Government Accountability Office (GAO) found that many disclosures in the customer solicitation materials and cardmember agreements were too complicated for many consumers to understand. Some of the more confusing issues were higher rates used after a late payment and the different rates used for different types of purchases. Critics argue that it is assuming too much for college students to really know what they are getting into when they swipe that card.

Should credit card companies be allowed on college campuses? Are they taking advantage of a vulnerable market, or are they simply offering a service to new customers?