University of Iowa officials said there were 208 students currently using school credit cards, and that the average balance is $1,028. At Iowa State University, officials said 289 students were actively using the cards, with an average balance of $389.

"Most of our students arrive on campus already carrying a credit card," Johnson, of Iowa State, said.

Relationships with lenders have offered lucrative incentives to alumni groups. University of Iowa alumni officials declined to say how much they are paid through their arrangement with Bank of America, as did bank officials.

But federal records show the University of Iowa Alumni Association was collecting $550,000 per year from MBNA, now Bank of America, through 2005.

Under the terms of the alumni association's newest contract, the school itself is guaranteed at least $200,000 per year from the bank all of which is to go to the athletics department.

The Iowa State University Alumni Association stands to collect at least $500,000 annually from Bank of America through 2012, documents show. Under that deal, the school receives an annual guarantee of $40,000 to $42,000, which goes to the athletics department.

The University of Northern Iowa Alumni Association refused to make public its contract with Bank of America, but its president, Mark Jastorff, said there have not been any association-endorsed solicitations aimed at students, directly or indirectly, over the past six months.

"We do not do that," he said. "Credit woes are a serious issue, and they affect students as much as anyone else."

Information from: The Des Moines Register, http://www.desmoinesregister.com

--Associated Press