Walmart ended a partnership with Capital One that made the bank the exclusive issuer of Walmart’s consumer credit cards.
Companies announced the change Joint Statement Friday.
Cardholders can still use their Capital One Walmart Rewards cards and rewards will continue to accrue until customers are notified of the change, the companies said. Capital One will retain ownership and service of the credit card accounts.
Bentonville, Arkansas-based Walmart partnered with Capital One in 2019 after ending its previous credit card deal with Synchrony Financial. The rewards card was co-branded and offered rewards such as cashback on in-store purchases and online orders set up for pickup or delivery. Website for the program. The deal is set to run until 2026.
But Walmart eventually caught up with Capital One. In 2023, Walmart sued the McLean, Virginia-based company, Capital One said it wanted to end the deal because it was taking too long to process payments and mail-in replacement cards. The suit also said Capital One “acknowledged” Walmart’s failure to meet certain service standards. Capital One said the service issues did not constitute grounds for ending the partnership and that Walmart was trying to “pre-empt the deal.”
A federal judge ruled in favor of Walmart in March.
Capital One said in a government filing Friday that it has approximately $8.5 billion in loans in its existing Walmart credit card portfolio.
It’s not yet clear when Walmart will name a new banking partner. The Associated Press reached out to Walmart on Saturday for comment.
