What the Walmart credit card is and who issues it

Walmart offers two credit cards: the Walmart Credit Card and the Walmart Mastercard. Both are issued by Synchrony Bank, not by Walmart itself. The Walmart Credit Card works only at Walmart and Sam's Club stores and on Walmart.com. The Walmart Mastercard works anywhere Mastercard is accepted — at other stores, restaurants, gas stations, and online retailers.

Both cards report to the three major credit bureaus (Equifax, Experian, and TransUnion), which means using either one can affect your credit score. The cards charge interest on balances you don't pay in full each month, and both have an annual percentage rate (APR) that varies based on your creditworthiness when you open the account.

Key Takeaways

  • The Walmart Credit Card only works at Walmart, Sam's Club, and Walmart.com, while the Walmart Mastercard works anywhere Mastercard is accepted.
  • Both cards charge interest on unpaid balances, with APR rates that depend on your credit history and current credit score.
  • The Walmart Credit Card offers discounts on fuel and grocery purchases, while the Mastercard offers cash back on all purchases.
  • You can check your credit score for free before opening either card, and you should compare the rewards against your actual spending patterns.
  • Late payments on either card will be reported to credit bureaus and can lower your credit score by 100 points or more.

Rewards and discounts on each card

The Walmart Credit Card gives you a discount on fuel at Walmart fuel stations — typically 5 cents per gallon when you use the card. It also offers discounts on groceries and other purchases at Walmart and Sam's Club, though the specific discount amount changes periodically. These discounts explore only to purchases made with the card at those stores.

The Walmart Mastercard offers cash back on all purchases: 3% cash back on Walmart.com, 2% at Walmart stores and Sam's Club, and 1% everywhere else. The cash back accumulates in your account and you can redeem it as a statement credit or transfer it to a bank account. Neither card charges an annual fee.

The value of these rewards depends on where you actually spend money. If you buy most of your groceries and gas at Walmart, the Walmart Credit Card's fuel discount may save you more than the Mastercard's cash back. If you split your spending across multiple stores, the Mastercard's 1% cash back on other purchases may be worth more.

Interest rates and how they work

Both cards charge interest on any balance you carry from one month to the next. The APR is not fixed — it varies by person based on your credit score, credit history, and income. Synchrony Bank typically offers rates ranging from around 16% to 26%, but your actual rate depends on your individual credit profile.

Interest is calculated daily on your unpaid balance. If you carry a $500 balance on a card with a 20% APR, you will owe roughly $8.33 in interest that month (before any payments you make). The longer you carry a balance, the more interest you pay.

The best way to avoid interest charges is to pay your full statement balance by the due date each month. Most credit cards, including these, offer a grace period — usually 21 to 25 days from the end of your billing cycle — during which no interest accrues if you pay in full.

Fees and penalties

Neither the Walmart Credit Card nor the Walmart Mastercard charges an annual fee. However, both cards charge late fees if you miss a payment. Late fees typically range from $25 to $35 for the first late payment and can increase if you miss multiple payments. A single late payment will also trigger a higher APR on your card, sometimes called a "penalty rate."

If you go over your credit limit, you may be charged an over-limit fee, though Synchrony Bank may decline transactions that would push you over your limit instead. Cash advances — withdrawing cash using your credit card at an ATM — are not available on the Walmart Credit Card, but may be available on the Mastercard. Cash advances typically charge a higher APR and an upfront fee.

Returned payments (checks that bounce or electronic transfers that fail) can also trigger a fee. The best way to avoid all of these charges is to set up automatic payments for at least the minimum amount due each month.

How opening a card affects your credit score

When you open a credit card, the issuer performs a hard inquiry on your credit report. This inquiry typically lowers your credit score by a few points — usually between 5 and 10 points — and stays on your report for about a year. Multiple hard inquiries in a short time can lower your score more significantly.

Once the card is open, your credit score can move in either direction depending on how you use it. Paying on time every month and keeping your balance low relative to your credit limit will improve your score over time. Missing payments, carrying high balances, or closing the card after opening it can lower your score.

If you already have a good credit score and plan to use the card responsibly, the short-term dip from the hard inquiry is usually worth it. If your score is below 650 or you are rebuilding credit, opening a new card should be a deliberate choice, not an impulse decision at checkout.

Comparing the two cards and choosing between them

The Walmart Credit Card makes sense if you do most of your grocery and gas shopping at Walmart or Sam's Club and want to maximize savings at those specific stores. The fuel discount is straightforward and applies automatically. The card is also easier to manage because it only works at Walmart locations, which reduces the temptation to overspend.

The Walmart Mastercard makes sense if you split your spending across multiple retailers — grocery stores, gas stations, restaurants, and online shopping. The 1% cash back on all purchases means you earn rewards even when you are not at Walmart. The Mastercard also works internationally if you travel.

Before opening either card, check your credit score for free using a service like Credit Karma, AnnualCreditReport.com, or your bank's credit monitoring tool. If your score is below 620, you may be denied or offered a much higher APR. If your score is above 700, you are more likely to receive a competitive rate.

What happens if you carry a balance or miss a payment

Carrying a balance means paying interest every month. A $1,000 balance on a card with a 20% APR will cost you roughly $200 in interest over a year if you make no payments. Even making minimum payments, you will pay significantly more in interest than the original purchase cost.

Missing a payment has when ready and long-term consequences. Your payment will be reported as late to the credit bureaus after 30 days, and your credit score can drop by 100 points or more. The late payment stays on your credit report for seven years. You will also owe a late fee and your APR may increase to a penalty rate of 29% or higher.

If you fall behind on payments, contact Synchrony Bank when ready. Many issuers offer hardship programs that can temporarily lower your payment or APR if you explain your situation. Waiting until the account is sent to a collection agency makes the problem much harder to solve.

Frequently Asked Questions

Can I use the Walmart Credit Card at other stores?

No. The Walmart Credit Card works only at Walmart stores, Sam's Club, and Walmart.com. If you need a card that works everywhere, the Walmart Mastercard is the option. The Mastercard works at any store that accepts Mastercard.

What is the credit limit on a Walmart credit card?

Credit limits vary by person and are determined by Synchrony Bank based on your credit score, income, and credit history. First-time cardholders often receive limits between $500 and $2,500, though limits can be higher or lower. You can request a credit limit increase after you have used the card responsibly for several months.

Do I have to pay an annual fee?

No. Neither the Walmart Credit Card nor the Walmart Mastercard charges an annual fee. You only pay interest if you carry a balance, and fees if you miss a payment or go over your limit.

How do I check my Walmart credit card balance and make a payment?

You can log into your account on Synchrony Bank's website (the issuer's site, not Walmart's) or call the customer service number on the back of your card. You can make a payment online, by phone, or by mail. Setting up automatic payments ensures you never miss a due date.

Will opening a Walmart credit card hurt my credit score?

Opening the card will cause a small, temporary drop in your score — usually 5 to 10 points — from the hard inquiry. Over time, using the card responsibly (paying on time and keeping balances low) will improve your score. Missing payments or carrying high balances will lower it significantly.