BENTONVILLE, Ark.—Walmart, along with the fintech OnePay, of which it is the majority owner, said it is launching a pair of credit cards with a bank partner for its customers.
OnePay is partnering with Synchrony to issue the cards and handle underwriting decisions starting in the fall, the companies said in a statement.
OnePay, which was created by Walmart in 2021 with venture firm Ribbit Capital, will handle the customer experience for the card program through its mobile app, the companies added.
’10-Million Customers’
Walmart had been partnered with Capital One as the exclusive provider of its credit cards since 2018, but the world’s largest retailer filed suit against Capital One in 2023 in order to exit the relationship years ahead of schedule.
At the time, Capital One accused Walmart of seeking to end its partnership so that it could move transactions to OnePay.
The Walmart card program had 10 million customers and roughly $8.5 billion in loans outstanding last year, when the partnership with Capital One ended, according to Fitch Ratings data cited by CNBC.
“For Walmart and its fintech firm, the arrangement shows that, in seeking to quickly scale up in financial services, OnePay is opting to partner with established players rather than going it alone,” CNBC reported. “
One-Stop Shop
According to the CNBC analysis, its quest to become a one-stop shop for Americans underserved by traditional banks, OnePay has methodically built out its offerings, which now include debit cards, high-yield savings accounts and a digital wallet with peer-to-peer payments.
The two new cards include: a general-purpose credit card that can be used anywhere Mastercard is accepted and a store card that will only allow Walmart purchases.
Customers whose credit profiles don’t allow them to qualify for the general-purpose card will be offered the store card, a person with knowledge of the program told CNBC.
How the rewards program and other pricing will work has not been released.
