If you shop at Walmart very often, there’s a better than average chance that you’ve been offered the opportunity to apply for a Walmart credit card, probably several times over. Have you ever wondered if it’s worth it to actually go ahead and get it? It seems like a lot of people have the idea that the card isn’t really all that great, but you might be fooling yourself. If you want to know more about it, keep reading.
First and foremost, it’s important to know that when you are approved for a Walmart credit card, it isn’t something that you can just use at Walmart. In reality, you would use that just like you would use any other credit card. When you’re approved for the card, you are issued a MasterCard and you can use that in any location that accepts that particular card type. That means that you can purchase gas with it, go out to eat, or do any number of other things with this card that have nothing to do shopping at Walmart. Of course, you can also use the card to make your purchases there whenever you shop.
As far as interest rates go, the card is not among the best options but it’s not terrible, either. You can expect an interest rate of a little under 23 percent, 22.9 percent to be exact. Since a lot of credit cards have interest rates that start at around 30 percent and go up from there, this is one of the better ones, although there are obviously better options out there for people who have excellent credit. In addition, payments are typically a very small percentage of your overall balance. For example, if you’re carrying a balance of $300, your minimum payment is probably going to be around $15 or $20. That’s about as good as it gets, especially in a world where people are paying so much for credit cards.
Credit limits that are approved for the card vary depending on your circumstances. In other words, it will depend on your own credit rating how much you are approved for. Generally speaking, the credit limits on these cards are much higher than other cards, and it isn’t uncommon for people with mediocre credit ratings to be approved for credit limits that are over $2,000. As long as you know how to manage your money and avoid getting into trouble with credit cards, this can be very helpful in the case of an emergency. The important thing is to remember to resist the temptation to charge that card way up to its limit just because it’s there. If you do, it’s going to take you a long time to pay it off because of the higher credit limit.
Typically, if you go shopping at Walmart or you visit the company’s website and you use the credit card to pay for your purchases, you can expect a small discount. Furthermore, applying for the card is relatively painless. It only takes a minute or two and in most cases, you can either do it online or you can choose to apply right there at the register at your local Walmart. If approved, you’re given a temporary number that can be used to pay for your purchases until you receive your actual card in the mail. It only takes about five minutes for the application process, and the amount of information that you have to present to the Walmart associates is minimal.
In reality, this is probably one of the better options for people that are looking to keep a few credit cards with them at all times. It’s versatile, it’s flexible, and the rates are competitive enough that it’s worth having. When you consider the relatively high credit limit that’s typically approved, it makes it a great option for emergencies. Since you get a small discount on Walmart purchases, you can also pay for all of your purchases with your card for the entire month and then pay that balance off in full when you get your bill. This gives you the chance to save a little bit of money in the long run. In addition, paying off your balance in full each month might give you the opportunity to get an even higher credit limit later on down the road.
10 Most FAQs and Answers on Walmart Credit Card
1. Q: Is the Walmart Credit Card worth having?
A: The Walmart credit card is a store credit card and it can be used to make purchases on the online site at Walmart.com, Sam’s Clubs, the Walmart Supercenters and stores. It can also be used at Neighborhood Markets, and any Murphy USA or Walmart Gas Stations.
2. Q: Does Walmart make a card you can use at other locations?
A: Yes. Walmart has their standard store card that can only be used in their affiliated network of stores, online venues and gas stations. In addition, they have a MasterCard version of the Walmart Credit Card. The MasterCard version can be used at any place that accepts MasterCard.
3. Q: Does the Walmart Credit Card offer any incentives?
A: Yes it does. Both the store version and the MasterCard version have a cash back program. They offer a 3% cash back incentive for everyday purchases that are made when you enroll in the Walmart reward program, but you must sign up to get the cash back benefit. You also get 2% back for every fuel purchase that you make at Walmart gas stations and some of the Murphy USA gas stations with the exception of the Murphy Express stations. You get a cash back reward of 1% for all other purchases made with the cards. If you have the MasterCard, this applies to all retailers who accept MasterCard. The rewards are issued to enrolled members on the monthly statement and they appear as a credit. As long as your account is in good standing, there is no limit on the amount that you can earn as a cash back credit and the rewards never expire.
4. Q: Is there a bonus for signing up for a Walmart Credit Card?
A: Yes. Both the Walmart Store card and the Walmart MasterCard offer an incentive to begin using the card right away when you sign up. You must spend at least $25 with the card within 24 hours of opening your credit card account. When you do, you get a $25 sign on bonus and it is issued as a credit on your statement.
5. Q: How hard is it to get a Walmart Credit Card?
A: The Walmart store credit card is one of the easier cards to qualify for and even if you’re new to credit cards or if your credit rating is poor, you will likely still qualify for the store card. Most customers who apply with credit scores of 550 and above are generally approved. It’s more difficult to obtain approval for the MasterCard Walmart credit card because you must have a credit score that is at least 660 or even higher.
6. Q: What are the fees for being a Walmart credit card holder?
A: There are no annual fees for Walmart credit card holders and this goes for either the store version or the MasterCard version. In fact, both cards offer a special promotion that will give you a six month interest free grace period. If your purchases are between $150 and $299 you will have six months interest free and if you spend at least $599 or more you will have a 24 month interest free period.
7. Q: How high are the credit limits on the Walmart Credit Card?
A: One of the drawbacks for new card holders is that the credit limits on the cards usually start off very low. The credit limit may start out at a limit of as low as $150 in the beginning. As you use the card responsibly and keep your account current, the limit is likely to be raised by a few hundred dollars, but we’ve heard that Walmart may also decrease the amount of the credit limit and they may do so without any warning.
8. Q: What if I miss a payment during the deferred interest period?
A: This is something that you want to strictly avoid doing. If you fail to pay off the balance of your Walmart credit card before your grace period ends, they will actually go back to the starting date and charge you interest from day one. You lose the benefit if you don’t completely pay off the debts within the stated amount of time.
9. Q: What is the APR on a Walmart Credit Card?
A: The interest rate is high for both the Walmart store version of the credit card and the MasterCard version. For purchases, the current interest rate for the store version is 24.65% for purchases. The Mastercard version features a variable APR which is based upon your credit worthiness. The range is between 18.65% and 24.65%.
10. Q: What is the rate for cash advances?
A: The Walmart Credit Card charges high rates for cash advances. The APR for cash advances is generally between 21.65% all the way up to 27.65%. The rates are on the high end of the interest rate for credit cards so it’s not a card that you’ll want to use for cash advances.