Citibank pushing Handlobank debtors prior to merger

Citibank is contemplating hiring an external company to act as debt collector for money owed to Handlobank, the retail banking arm of Bank Handlowy, in light of the imminent merger between the two. It is widely believed that the move could result in the general perception that Handlobank's criteria for credit rating lack stringency and thus credibility. Citibank questions Handlobank's offer of Maestro debit cards on the same day that a customer opens an account. Additionally, the bank's granting loans to clients without sufficient assessment of their credit history makes the bank vulnerable. Representatives of both Handlobank and Citibank have declined to reveal the volume of bad debts resulting from this carelessness. The merger is a result of an earlier acquisition of Handlobank's parent company, Bank Handlowy, by Citibank. The new bank will operate under the Citibank brand name. Following the merger, current Citibank cardholders will have their privileges enhanced, while those of Handlobank will have to reapply for credit cards. (Puls Biznesu, p.7).