Is a Walmart Credit Card Right for Your Business?

By business.com editorial staff,
business.com writer
| Updated
May 29, 2020
Image Credit: cyano66 / Getty Images
See our business.com
guide
to financial success.
Presented in partnership with:
Rapid Finance

How well does the Walmart credit card compare to other credit cards?

Is a Walmart credit card right for your business?

How well does the Walmart credit card compare to the mountain of competition that's out there? We all know there is no shortage of store credit cards available today, so just how well do Walmart's cards measure up? Like any credit card, the Walmart card has its good and bad points. Let's find out what they are.

Pros of the Walmart credit card

Walmart offers two credit cards: a Walmart MasterCard and a Walmart consumer credit card. With the Walmart MasterCard, you can use your credit card anywhere you see the MasterCard sign, and you will earn 1% cash back on purchases. You can only use the Walmart consumer credit card in the store or at one of Walmart's on-site gas stations. This article will discuss the Walmart consumer credit card.

When you purchase gas with your Walmart credit card at a Walmart gas station, you will save 5 cents per gallon on your purchase. If you live in Florida or Alabama, the discount will show up as a credit on your statement, rather than as immediate savings at the pump. This is a nice perk if you live near a Walmart gas station.

Walmart credit cards have no annual fee. They include a $0 fraud liability in case of identity theft, and if you sign up for electronic statements online, you will receive a free monthly credit score from FICO. You will also be able to see the top two items affecting your score. This is a great feature if you like to monitor your credit score carefully. 

The Walmart credit card includes a unique cash-advance feature that allows you to withdraw $60 cash per day (in $20 increments) when you make an in-store purchase. While most credit card companies charge you a premium interest rate for making cash withdrawals, Walmart treats it as a store purchase, so you can avoid the additional credit card processing fees you might incur with another card.

Cons of the Walmart credit card

However, if there is one number you need to know about when applying for credit cards, it's the interest rate. Walmart doesn't offer much of an incentive. The average interest rate for its cards is 22.9%. If you are the kind of person who diligently pays off their balance each month, this isn't too much of a concern.

However, if your business is struggling to meet high monthly overhead, that interest rate can quickly become a big worry. Keep an eye out for special offers, however, that give you zero interest rates on purchases if you pay the card off within a specified period of time. Contact your local Walmart or go online to find the current interest-free offers.

What credit score do you need for Walmart's credit card?

If you are considering applying for a Walmart credit card, according to Wallet Hub, you will need at least a credit score of 640 as well as a steady income.

Other factors influence whether you qualify for a card or not. For instance, if you have too many delinquent accounts on your report or have filed for bankruptcy in the recent past, these may prevent you from getting a Walmart credit card. 

How do you apply for a Walmart credit card?

If you are interested in applying for a Walmart credit card, be sure to complete the following steps:

  • Meet the basic requirements. First and foremost, you must be able to meet the following requirements. You must be 18 or older, have a U.S. mailing address and a Social Security number.

  • Check your credit score. As mentioned, you will need at least a credit score of 640 to qualify for a Walmart credit card. Be sure to check your credit score before you apply.

  • Review your credit report. If there are anything derogatory marks that need to be disputed on your credit report, you will want to do this before you apply for your credit card.

  • Apply in-store or online. Once you have completed the above steps, you need to apply in-store or online. 

 

business.com editorial staff
business.com editorial staff
The purpose of our community is to connect small business owners with experienced industry experts who can address their questions, offer direction, and share best practices. We are always looking for fresh perspectives to join our contributor program. If you're an expert working in your field – whether as an employee, entrepreneur, or consultant – we'd love to help you share your voice with our readers and the business.com community. We work hard to only publish high-quality and relevant content to our small business audience. To help us ensure you are the right fit, we ask that you take the time to complete a short application: https://www.business.com/contributor/apply/ We can't wait to hear what you have to say!
Like the article? Sign up for more great content.Join our communityAlready a member? Sign in.