If the kids get in debt, their grades WILL suffer. That puts a HUGE incentive on them to get out as quickly as possible, and maybe to even get a part time job.
I don't know why, young people think they can be superman if they try hard enough. Try taking 5 or 6 classes a quarter/semester and when final exam time rolls around, you'll get swamped. No way you can compete with somebody with only 3 courses and 3 tests spaced out on Monday, Wednesday and Friday. You on the otherhand might be so unfortunate that your exams will fall on Monday, Monday, Monday, Tuesday, Tuesday, Tuesday... for a total of 6 tests in 48 hours. Try preparing for that.... and your parents will be so naive that they'll scold you for not getting your straight A's.
Kids play to burn off steam. It's not a vacation. I paid my own way, and went skiing the day before my final... and happened to run into my prof!