Refusing to make a settlement for credit card due to outstanding loan

Hello.

I have a credit card in a bank, at first they are asking me to show proof on why I wasn't able to pay my dues, so from my end, I submitted all papers.

Now, they asked me to pay the minimum, and when I asked when they will send me a settlement offer, they are telling me they cannot provide because I have a personal loan.

For this personal loan, they filed a case against me 5 months ago and I went to prosecution and paid the fees. So, the settlement offer for my credit card is not possible because of my loan also.

But before, they have asked me for proof to show and now they are refusing me. Is this correct or it depends on the bank's discretion?