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Walmart offers two credit cards to earn you rewards on your purchases. We have listed the benefits of each and how they stack up against alternative cash back programs.
If you’re a frequent shopper at Walmart you may be tempted to get one of the store’s credit cards. Walmart offers two branded cards: a store only card and the Walmart MasterCard. Both cards come with the promise of cash-back rewards, but they are only worth considering if you have a low FICO score.
Overview | The Walmart Credit Cards
The Walmart MasterCard can be used anywhere MasterCard is accepted, while the Walmart Credit Card is only accepted at Walmart stores, Walmart.com, Walmart and Murphy USA gas stations, and Sam’s Club.
There’s a single credit card application for both of these – Walmart will automatically match you to the appropriate card based on your financial information, with the Walmart MasterCard having tighter restrictions. Walmart cards lets you earn unlimited cash back but all the rewards are credited in your next statement.The purchases made in-store/online that receive a discount on the day of account opening are not eligible for cash back rewards.
This card offers benefits such as $0 Fraud liability, Quick Cash and special financing offers all through the year.
|Walmart MasterCard||Walmart Credit Card|
|Cash Back Benefits||3%: Walmart.com2%: Walmart gas stations & Murphy’s USA1%: Walmart stores and all other purchases||3%: Walmart.com2%: Walmart gas stations & Murphy’s USAWalmart stores and Sam’s Club|
|APR||18.90% – 24.90% (variable)||24.90% (variable)|
|Average FICO Score to Qualify to apply for a Walmart credit card||650||565|
You can apply for a Walmart credit card online or at the Walmart store. The card can be activated by login to the Walmart.com/creditlogin or by calling customer care.
To activate a Walmart credit card call 1-866-619-7890 and for Walmart MasterCard dial 1-866-888-3868.
Once you have an active account you can check your Fico score for free each month through https://www.walmart.com/creditlogin.
The Drawbacks of Walmart Credit Cards
The biggest beneficiaries for Walmart’s cards are online shoppers – online purchases qualify for 3% cash back. If the bulk of your purchases are made in-store you will only receive 1% cash back on your purchases.
Even though Walmart’s cards offer no annual fees, they have higher than average APR that offset cash-back benefits if you do not pay off your statement balance every month.
How Walmart’s Credit Cards Compare to Alternative Programs
Before applying for Walmart’s credit cards you should explore all-purpose cards that will offer more spending flexibility and favorable rewards programs. Three we recommend are:
Chase Freedom Unlimited
Chase Freedom Unlimited offers high cash back of 3% on $20,000 of spending during the first year, thereafter you receive 1.5% cash back on all purchases. You can earn up to $600 in cash back.
The points on this card don’t expire and there is no minimum redemption limit. You have the option to redeem your points as statement credits, deposit to your savings or checking account, gift cards or pay for your order at Amazon.com by linking your Freedom Unlimited card to an Amazon.com account.
Chase freedom Unlimited has an introductory APR period of 15 months with 0% interest on purchases and balance transfer beyond which variable APR rates begin to apply. To safeguard your purchases the card gives you 120 days of purchase protection, one year extended warranty, along with fraud and zero liability protection. You should have excellent credit to qualify for this card.
Capital One Savor
Capital One Savor is a superior card when you compare it to a Walmart credit card. It offers 4% cash back on dining and entertainment, 2% on grocery shopping and 1% on all other purchases. You also gain an introductory bonus of $300 after you spend $3000 on purchases within the first three months of opening an account. You can qualify for 8% cash back when booking tickets for concerts or theatres through vivid seats until May 31, 2020.
A coverage for Membership fee Postmates food delivery offer is available and it’s valid till December 2019. A good credit score is required to be eligible for this card.
The annual fee is waived for the first year and thereafter a fee of $95 is applicable. You do receive additional benefits such as no expiry of rewards and no foreign transaction fee. Savor from Capital One is an Elite Mastercard with benefits like 120 days of price protection, 2 years extended warranty, and zero liability protection.
QuicksilverOne from Capital One
Every time you use this credit card you will earn 1.5% cash back on every purchase at Walmart and beyond. Your points never expire, there are no restrictions on what purchases qualify, and best of all you can use this card anywhere MasterCard is accepted. Quicksilver does come with one year extended warranty and 60 days purchase protection shopping benefits. An average to above average credit score is a must to be considered for this card.
Travel benefits such as Travel and accident insurance, Auto Rental Insurance,Trip Cancellation/Trip Interruption Insurance, Travel and emergency assistance services are available on all cards mentioned above. Freedom Unlimited has an additional benefit of Lost luggage reimbursement whereas Savor comes with Baggage Delay Insurance and Concierge service.
Walmart credit cards fall short by not offering any travel benefits when compared to other cards.
The Bottom Line
For those with a low FICO score who frequently shop on Walmart.com, the Walmart store card or Walmart MasterCard are worth pursuing due to their lax qualifying criteria. If you were only seeking out these cards for the benefits of their reward then there are stronger alternatives available.