The credit card industry noticed a drop in the interest rates on new cards being offered, thanks to the return of the online Walmart Discover Card.
For the latest credit cards offerings, the annual percentage rate dropped to an 14.37% on an average. Off late, consumers could only see the interest rates trending northward; however, the return of the online Walmart card has sent the APR tumbling down south.
The application form for this online Walmart card, which was being issued by G E Money, was removed from the internet late in June. The return of this card seems to bring good news to customers in terms of the interest rates on the new credit card offers. The reappearance of this card has led to the replacement of the closed loop Walmart card, which unlike its Discover counterpart, had an interest rate of close to 23% and could be used either at Walmart stores or at stores affiliated to Walmart. The average national interest rates are calculated based on the lower limit of the interest ranges offered by credit card companies and hence the online Walmart discover card rate of 13.9 percent to 22.9 percent pulled the national average down significantly.
The next logical question is why this card that was pulled out of the credit card market in June making a comeback now? Dori Abel, the spokesperson for G E Money, made a statement telling the industry that the online Walmart Discover card was not completely removed from the market. It was only the online application form that was withdrawn. The card could still be obtained at Walmart stores. There were some minor changes being incorporated in the online application form for the card because of which the form was withdrawn a couple of months ago. She also went on to say that the company was keen to bring back the online application form once the desired updates and changes were made. Now that the change and updation process has been completed, the online application is back on the internet. Abel also reiterated the fact that the offer on the online Walmart Discover card remains the same as it was before the application form was taken off.
In addition to the re-introduction of this online Walmart card to the market, there was another change happening alongside. The Club visa card by Cabela also saw a revision of the interest rates to 9.9% to 18.30% as compared to 9.99% to 18.34%.