The Bank of New Zealand has rejected an accusation it acted unscrupulously when it offered pre-approved credit cards without checking if the people were able to maintain the debt.
A BNZ staff member, who wanted to be known only as John, said that thousands of people had received the letters.
"They have sent out pre-approved credit card [letters] to non-bank customers using a Fly Buys database, and if you sign it, date it and send it back to us - we don't do any credit checks on it, we don't do any lending criteria on it - you're basically accepted straight away."
John said bankrupts and the intellectually handicapped had called the bank asking about the mailout.
"Also people who are unemployed have called asking if this offer is for real, because there's no way in the world they would normally get a credit card. And the bank's accepting it.
"It's socially irresponsible just before Christmas."
BNZ confirmed it had made a pre-approved offer of a Visa card with credit limits ranging from $3000 to $5000 to a selection of Fly Buys members.
It said the Fly Buy members selected had "actively accumulated points on their Fly Buys cards over a sustained period of time, which indicated an ability to service debt and most likely, employment".
Consumer Institute head David Russell said the bank's actions were "ethically reprehensible".
"Particularly if they are sending it to people who are going to struggle to meet the debt they are likely to run up on the pre-approved card." Mr Russell said the mailout also underscored the point that people had to be careful about what they signed.
- NZPA
