Is the Walmart Credit Card Best for Walmart Purchases?

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With a Walmart in almost every city, it might make sense to get the Walmart credit card to earn up to 5% back on Walmart purchases. There’s a high chance your current credit cards do not earn bonus points on Walmart purchases. Because Walmart sells everything from food to car tires, every purchase earns the standard 1 point per $1 spent.

The Capital One Walmart credit cards are here. Capital One takes over the Walmart credit card portfolio starting September 24, 2019. If you’re a current cardholder with a Synchrony Bank account, your card automatically begins earning Capital One rewards on October 11, 2019.

If you don’t own a Walmart credit card yet, Capital One is launching two different options. In addition to getting up to 5% back on Walmart purchases, you can now earn 2% back on travel and dining.

Capital One Walmart Rewards Credit Card

The information for the Capital One® Walmart Rewards™ Card has been collected independently by Johnny Jet. The card details on this page have not been reviewed or provided by the card issuer.

You can apply for the brand new Capital One® Walmart Rewards™ Card starting September 24, 2019. The new Capital One rewards program earns up to 5% back on purchases and replaces the current 3-2-1 Synchrony Bank rewards program.

Even better, you also get to earn 2% back on travel and dining purchases. The previous Walmart credit card only earned bonus rewards on Walmart purchases. Current cardholders will receive their new Capital One-issued card in late 2019 or early 2020. But you beginning earning the new 5-2-1 rewards starting October 11, 2019.

There is no annual fee or foreign transaction fee.

Up to 5% Back

You will earn up to 5% back on purchases:

  • 5% back at Walmart.com plus Walmart Grocery Pickup and Delivery
  • 5% back on in-store purchases using Walmart Pay (for the first 12 months then 2% back)
  • 2% back on in-store Walmart purchases (after the first 12 months)
  • 2% back on restaurants and travel
  • 1% back on everything else

You can redeem your rewards for travel, gift cards, Walmart.com credit, or statement credits.

It doesn’t appear this card earns bonus cash on Walmart gas purchases. You will need to get the Walmart Rewards Card store charge card to get 2% back on gas purchases. Or you can use another gas rewards credit card.

Walmart’s largest competitor is Amazon. In the this-for-that retail war, Walmart recently quicker and more extensive merchandise and grocery delivery services.

Signup Bonus

The current introductory offer is 5% back on in-store Walmart purchases using the Walmart Pay app. After the first 12 months, all in-store purchases earn the standard 2% back.

Current Synchrony Bank Walmart Credit Card owners can get 5% back on in-store purchases through October 14, 2020.

No Annual Fee

One nice advantage of this Walmart credit card is that it doesn’t have an annual fee or foreign transaction fee.

Tip: Check our out favorite no annual fee credit cards that are perfect for earning travel rewards.

640 Credit Score

You have the best approval odds for the Walmart credit card with a 640 credit score. This score is on the high end of the “fair credit” category. For perspective, many consider a 670 credit score the start of “good credit” and a 740 credit score the beginning of “excellent credit.”

Other current Walmart Credit Card members report getting approved with a score closer to a 600 credit score. However, you can expect a relatively low credit limit.

Initial credit limits range from being as low as $400 and as high as $2,000. On a positive note, many users report getting an increase within the first 6 months.

If you are still trying to either build or rebuild credit, this card can be a stepping stone. Even with a low credit limit, only using this card for Walmart purchases is an easy and free way to boost your score while earning cash rewards.

Walmart Rewards Card

Capital One is also issuing the Walmart Rewards Card starting September 24, 2019. This is a store charge card that only works at Walmart and Walmart.com. It’s the easier of the two cards to qualify for, especially if you need to rebuild credit.

The Walmart Rewards Card earns 5% back on all Walmart purchases for the first year. After the first 12 months, Walmart.com and Walmart Grocery Pickup and Delivery continue to earn 5% back. In-store purchases will only earn 2% back. Walmart gas station purchases always earn 2% back even during the introductory period.

Walmart Credit Card Review

The current Synchrony Bank Walmart Credit Card earns up to 3% back on every purchase:

  • 3% back on Walmart.com and grocery pickup
  • 2% back on at Murphy’s USA and Walmart gas stations
  • 1% back on in-store Walmart, Neighborhood Market, and Sam’s Club purchases
  • One-time $25 statement credit signup bonus

This card is best for making online purchases at Walmart.com and fueling up your vehicle.

If you regularly shop at your local Walmart or Sam’s Club, this card probably earns the same amount as the current rewards credit cards in your wallet. Most rewards credit cards earn at least 1% back (1 point per $1 spent if your card earns rewards points) on non-bonus purchases.

Walmart Credit Card Alternatives

The Walmart Credit Card can be a good option if you are a loyal Walmart shopper. You might get special discounts and earn extra cash rewards that other credit cards don’t offer at Walmart.

However, other cards can boost your purchase power more, even if you shop at Walmart weekly.

Capital One Venture Rewards Credit Card

If you like to travel, the Capital One® Venture® Rewards Credit Card might be for you. Like the new Walmart credit card, Capital One also issues the Venture Card. You earn unlimited 2 miles per $1 on every credit card purchase. Through January 2020, Hotels.com/venture purchases earn 10 points per $1 spent.

Your points are redeemable for travel statement credits and booking upcoming travel.

You also get an application fee credit for Global Entry or TSA PreCheck. It’s one of the best Capital One credit cards for travel.

The signup bonus is 50,000 bonus points worth $500 in award travel by spending $3,000 in the first 3 months. Also, the introductory annual fee is $0 for the first year and then $95 each card anniversary.

Chase Sapphire Preferred

The Chase Sapphire Preferred® Card only requires a good credit score (670+) to be approved. This card only earns 1 point per $1 on Walmart purchases. Like the Walmart Mastercard, you get 2x points on travel and dining and 1x points on everything else. Although you earn less on Walmart purchases, each point you earn can be more worth more.

Your Sapphire Preferred rewards points are most valuable when redeemed for travel. Each point is worth 1.25 cents each when you book travel through Chase. Points can be worth more when you transfer them to airline and hotel partners like United, Southwest Airlines, and World of Hyatt.

Along with the many Chase Sapphire Preferred benefits, you can earn a one-time signup bonus of 60,000 bonus points. This bonus is worth $750 in award travel and its yours by spending $4,000 in the first 3 months.

Chase Freedom Unlimited

The Chase Freedom Unlimited earns 1.5% back on every purchase. You can earn 50% more on in-store Walmart purchases than the Walmart Credit Card. And your card earns points on every non-Walmart purchase.

If you also own the Chase Sapphire Preferred or Chase Sapphire Reserve, your points can be worth up to 50% more when redeeming them for award travel. And, you can also transfer them to airlines and hotels like United Airlines, Southwest Airlines, JetBlue, and World of Hyatt.

One of the best cash back credit card options available, it doesn’t have an annual fee. The Freedom Unlimited also requires a 670 credit score (or higher) to have the best approval odds.

Summary

Loyal Walmart shoppers can benefit from the current Walmart credit card. Capital One rolling out enhanced earning and redemption options in October 2019 can make this card more attractive. However, you may still enjoy the flexibility of one of the best credit cards for travel rewards that aren’t associated with a specific retail store.

Josh Patoka

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Editorial Note: The editorial content on this page is not provided by any bank, credit card issuer, airlines or hotel chain, and has not been reviewed, approved or otherwise endorsed by any of these entities.

Is the Walmart Credit Card Best for Walmart Purchases?

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