For 20 years Synchrony Bank has been the exclusive issuer of Walmart credit cards (they also issue the Sam’s Club card). Walmart is considering moving to Capital one as they want a co-branded issuer that can support their vision for Walmart Pay. Currently the Walmart co-branded cards account for more than 10% of the interest rate and fees that Synchrony Bank earned last financial year.
The last time such a big portfolio changed hands was when Citi & Visa teamed up to purchase the Costco portfolio from American Express. Synchrony just recently spent $7 billion purchasing consumer credit receivables from PayPal and extending that co-branded relationship until 2028.
