HSBC, Citigroup Stymied by Chinese Who Pay Credit Cards in Full
It's like drug dealers trying to get kids hooked.


Quote:
****

China Merchants, HSBC Holdings Plc and Citigroup Inc. must get more Chinese into the borrowing habit to make money in the nation's nascent credit-card market, says Ron Logan, who heads the credit-card unit of HSBC's venture with Shanghai-based Bank of Communications Ltd., China's No. 5 lender.

``While profit may not be immediately possible, this is something that will develop over the next few years,'' says Logan, 49. ``Crucial to achieving this is ensuring that the percentage of active cards grows along with revolving balances.''

***