The Walmart Financial advantage
Walmart is one of Canada’s biggest retailers — more than a million customers visit the 317 retail outlets it operates nationwide. When the company launched Walmart Canada Bank, a subsidiary of Wal-Mart Canada Corp., the multinational’s goal was to bring Canadians financial products and services that help them save money. And it’s done just that. Walmart has only one card on offer right now through its partnership with Mastercard, and it’s aimed at low-income families or individuals.
Here’s what you get when you choose Walmart for your credit card needs.
Low-barrier to entry
It’s relatively easy to qualify for a no-fee Walmart credit card; you only need a household income of $12,000.
A rewards system that’s easy to understand
Unlike other rewards programs, Walmart’s is refreshingly straightforward. It doesn’t operate on a points-system. Instead, rewards are earned in dollar equivalents, so it's easy to see how much you’ve earned. However, you can’t redeem your rewards for cold, hard cash — it can only be used for purchases made at Walmart. You can begin redeeming once you’ve earned a minimum of $5. Plus, your balance never expires.
Walmart has you covered
One benefit offered by Walmart that piqued our interest is its Balance Protection Plan. For about $0.95 per $100 balance, this optional insurance plan will pay 5% of your account balance if you suddenly become unable to. Some scenarios that qualify include job loss (the self-employed are excluded), illness, disability, and death.
A few other extras
Each card is enabled with Tap & Go technology and supplementary cards are free. If you’re still in the habit of using cheques, Walmart will hook you up with personalized convenience cheques at no cost.
Recommended Walmart Financial credit card
Most popular card
Walmart Rewards MasterCard
This is a good option for low-income individuals whose credit score is still within the average range — there’s no annual fee and if you already shop at Walmart for your staples, the rewards programs is an incentive for you to continue. Also, just for signing up, you’ll receive $15 to put towards any item at Walmart. You can earn an additional $10 if you sign up for electronic billing. The earn rate on the Walmart Rewards MasterCard® works out to 1.25% on any purchases made at Walmart and 1% anywhere else. The preferred annual interest rate for this card is 19.89%. The standard rate is 25.99%
About Walmart Financial
The first Walmart store opened in 1962 in small-town Arkansas. By 1994, the now-multinational corporation had just expanded into Canada, following the purchase of 122 Woolco stores. Sixteen years later, Walmart shook things up once again by becoming a Canadian credit lender. The multinational corporation is known for competing with other retailers on price. With the roll-out of its first no-fee credit Mastercard, the mega-retailer seems determined to take on other lenders with its own competitive offering.