Walmart has ended its partnership with Capital One, which made the bank the exclusive issuer of Walmart’s consumer credit cards.
The two companies Joint statement Friday.
The companies said cardholders will be able to continue using their Capital One Walmart Rewards cards and will continue to earn points unless customers are notified of the change, and Capital One will continue to own and service the credit card accounts.
Bentonville, Arkansas-based Walmart partnered with Capital One in 2019 after ending its previous credit card agreement with Synchrony Financial Inc. The rewards card was co-branded and offered perks like cash back on in-store purchases and online orders marked for pickup or delivery. Program WebsiteThe contract was due to run until 2026.
But Walmart ultimately grew frustrated with Capital One. In 2023, Walmart sued the McLean, Virginia-based company.Walmart alleged that it wanted to terminate the contract because Capital One took too long to process payments and mail replacement cards. The complaint also said that Capital One “admitted” that it failed to meet some of Walmart’s service standards. Capital One said that the service issues were not grounds for ending the partnership and that Walmart was seeking to “early terminate the contract.”
A federal court ruled in Walmart’s favor in March.
Capital One said in a government filing Friday that its existing Walmart credit card portfolio has about $8.5 billion in loans outstanding.
It’s not yet clear when Walmart will name a new banking partner. The Associated Press sent an email to Walmart seeking comment on Saturday.
