Abstract: The dispensing system disclosed herein is adapted to dispense T-shirt type plastic film bags of the type having an openable mouth and loop handles extending upward on either side of the mouth, the handles being linked at their upper ends by a tearaway strip extending between them. The stack of bags are retained in a cartridge formed of a stiff web member which is folded to provide front and back panels enclosing the upper ends of the handles and the tearaway strips. The back panel has a tongue which is folded under the tearaway strips and which then extends upward parallel to the front panel. The upwardly extending portion of the tongue also holds a retaining strip provided at the upper end of a resilient apron-like member which extends downwardly covering the mouths of the bags so that a user is directed to extract a bag by grasping its bottom rather than the mouth which can cause several bags to be removed unintentionally. The apron carries advertising text and preferably, also a pad of discount coupons.