Walmart has officially ended its partnership with Capital One, marking the conclusion of an agreement that made the banking company the exclusive issuer of Walmart’s consumer credit cards. The companies announced the termination of the partnership in a joint statement released on Friday.
Despite the end of the partnership, card-holders can still use their Capital One Walmart Rewards cards, which will continue to accrue rewards unless customers are notified of a change. Capital One will retain ownership and servicing of the credit card accounts.
The Bentonville, Arkansas-based retail giant initially partnered with Capital One in 2019 after ending its previous credit card deal with Synchrony Financial. However, Walmart’s relationship with Capital One soured over time.
In 2023, Walmart took legal action against the McLean, Virginia-based company, citing delays in payment processing and card replacement as reasons for wanting to terminate the agreement. A federal judge ruled in Walmart’s favor in March.
As of now, Capital One has disclosed that there are approximately $8.5 billion in loans in the existing Walmart credit card portfolio. It remains unclear when Walmart will name a new banking partner, as the retail giant has not yet made any official announcements regarding this matter.