Wal-Mart Applies to Create a Utah Bank

[devilgrrl]

Now they want to destroy the banking business... :eyes:


SALT LAKE CITY - Wal-Mart Stores Inc. has applied to establish a Utah industrial bank that would process credit card, debit card and electronic check transactions from its retail locations, the bank's chief said.
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The world's largest retailer now uses a third-party processor for the transactions. Handling the work itself would save a significant amount of money, Alan Whitchurch, the bank's president and chief executive, said Monday He declined to say how much money would be saved.

Wal-Mart's application with the Utah Department of Financial Institutions follows five years of attempts to get into banking. Previous plans to buy financial institutions in California, Oklahoma and to partner with a bank in Canada were unsuccessful.

Utah may present it its best chance. General Electric Co., Merrill Lynch & Co. Inc., American Express Co. and Target Corp., already have set up industrial banks in Utah. In May, Warren Buffett's Berkshire Hathaway Inc. announced plans to operate a Utah industrial bank to handle consumer loans for its R.C. Willey Home Furnishings stores.

more: http://news.yahoo.com/news?tmpl=story&cid=509&e=4&u=/ap/wal_mart_bank

[sweetheart]

1. They're competing with tesco

Tesco, a more profitable global competitor of walmart, has been offering
very lucrative financial services products targeting what is, as we
well know, a every fat business in banking. Banks have not seen
competition in ages, and a supermarket is better placed to maintain
regular customer contact than a bank.... i hope they kick ass.

http://www.tescofinance.com/personal/finance/finance/index.jsp

[marmar]

2. Wal-Mart and Utah...

two places I never hope to be in.

:scared: