Attention, Walmart shoppers: Now you can get a Walmart credit card that earns competitive rewards. The Capital One Walmart Rewards Mastercard, which debuts Sept. 24, is on par with rewards credit cards from retailers such as Amazon.
What Is the Offer?
The card charges no annual fee and no foreign transaction fee.
Here’s how the rewards stack up:
- 5% cash back on purchases at Walmart.com, including Walmart grocery pickup and delivery
- 5% back on in-store Walmart purchases using the retailer’s mobile wallet, Walmart Pay, for the first 12 months after card approval
- 2% back on in-store Walmart purchases for the first 12 months
- 2% back on restaurants and travel
- 1% back on all other purchases
Rewards can be redeemed for travel purchases, gift cards, statement credits or payments at Walmart.com.
Is It a Good Offer?
If you’re a frequent Walmart shopper, this new card could have good value. It charges no annual fee, delivers 5% cash back and provides many options for redeeming rewards. It’s tough to see a downside.
Still, other cards could offer a better value, depending on how much you shop at Walmart. You’ll have to use the Walmart Pay digital wallet for 5% cash back on in-store purchases, and that rate is good for just 12 months.
Other cards may come with a sign-up bonus, but this one does not.
What Are Some Other Competitive Cards?
Earning 5% cash back or more on everyday essentials is a high standard. Few credit cards offer rewards at that level, with no cap on earnings in any category.
But if you’re thinking of getting the Capital One Walmart Rewards Mastercard, you might want to compare it with these cards:
- The Amazon Rewards Visa Signature Card is the most evenly matched competitor to the Capital One Walmart Rewards Mastercard. Amazon Prime members with this card will earn 5% unlimited cash back at Amazon.com and Whole Foods Market as well as 2% back at restaurants, gas stations and drugstores and 1% back on all other purchases. The card charges no annual fee, but Amazon Prime membership costs $119 yearly.
- The Blue Cash Preferred Card from American Express earns 6% cash back on up to $6,000 spent annually at U.S. supermarkets, then 1%; 6% cash back on select U.S. streaming subscriptions; 3% cash back on transit and at U.S. gas stations; and 1% cash back on all other purchases. New cardholders can earn a $250 introductory bonus after spending $1,000 within the first three months, but the card has a $95 annual fee.
- Discover it Cash Back earns 5% cash back on up to $1,500 spent each quarter on rotating bonus categories. Bonus categories for October through December are Amazon, Target and Walmart.com. Still, you’ll only get the bonus with these three retailers for that quarter. Discover also charges no annual fee and matches all the cash back you earn at the end of your first year as a cardholder.
- Chase Freedom earns 5% cash back on the first $1,500 you spend each quarter on rotating bonus categories, such as gas stations, groceries or drugstores. Like Discover it Cash Back, this card could offer more rewards-earning flexibility than others in the last three months of 2019. This is when you can earn 5% cash back by shopping at department stores and using PayPal or the digital wallet Chase Pay. Chase Pay can be used at Walmart.com and with many other retailers. You can earn a $150 sign-up bonus after you spend $500 on the card within the first three months, and you pay no annual fee….Read more>>