First year student Phyllis Pow Ying-ying, who is taking a hotel, catering and tourism management course at Polytechnic University, has two credit cards. 'Banks approve virtually every application submitted without even the slightest consideration of students' financial background. Also, the free gifts that come with cards are so attractive that many are tempted to apply. 'Many students do overspend with credit cards and have problems paying off debts. The Monetary Authority should propose a code of practice to monitor the issuing of credit cards to students,' she said. Lam Ka-yu, a first year business student at the Chinese Uni versity of Hong Kong, has one credit card. 'Banks eagerly issue cards to everybody, not only university students. Almost everyone who applies will have the annual fee waived and receive free gifts. 'It goes without saying that students tend to overspend with credit cards. Yet I don't think legislation is necessary.' Tse Kwan-hung, a sixth former at Ying Wa College, however, thinks differently. 'It is okay for banks to issue cards to university students because they make up a huge market that can generate a lot of profit. But banks should lower students' credit limits because otherwise it encourages students to overspend. 'Virtually everybody, not only students, tend to spend more with credit cards. But it is not the right time to pass restrictive laws because this could provoke a backlash from banks.' Poon Chung-sze, 23, a third year student studying English professional communication at City University, thinks it is too easy for students to get a credit card. 'Banks offer so many benefits and no annual fee is charged. It's so tempting,' she said. Owning three credit cards herself, Ms Poon admitted she often spent too much. To stop herself, she sometimes leaves the cards at home. 'I only use credit cards for reserving tickets or I only put one in my wallet when I need to use one,' she said. She thinks the Government should set up guidelines for banks in approving credit card applications. Belle Leung Ho-kwan, 16, a fifth former from Diocesan Girls' School, thinks the Government should set up guidelines or regulations for banks to approve credit card applications. 'If you have got a credit card, you may spend more because you don't have to pay back instantly, even if you have planned how to use your money.' She thinks banks should make sure applicants have the ability to pay or are trustworthy before giving them a card. Jing Wong, 19, from Li Po Chun United World College, thinks students should be taught the proper attitude towards financial management. 'It is unnecessary to set guidelines for banks. People should have the freedom to apply for a card. It's a matter of education. Living on credit is not good. Some people forget how to use money responsibly.' Sometimes, it is more convenient to use cards but students should be taught to use them correctly and not abuse them, he said.