Walmart changes store cards to Capital One
Walmart has chosen Capital One Financial as the new issuer of its store credit card, ending a partnership with Synchrony Financial, the Wall Street Journal reported on Thursday, citing people familiar with the matter.
Shares of Synchrony Financial closed down 10 percent, at $30, while those of Capital One closed down 2 percent, at $96.83.
Under the deal, Capital One will issue credit cards that can only be used on Walmart’s website and in its stores, as well as co-branded cards that can be used almost anywhere else, the Journal reported.
Synchrony, which issues private-label cards as well as co-branded cards, has been Walmart’s exclusive credit-card issuer since 1999.
It was not immediately clear about the future of roughly $10 billion portfolio of Walmart card balances that Synchrony has, WSJ reported.
Walmart, Capital One and Synchrony were not immediately available for comment.
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