Wal-Mart Announces Major Expansion of In-Store Financial Services

Wal-Mart Stores Inc. (NYSE: WMT) today announced it will open 1,000 Wal-Mart MoneyCenters — covering a quarter of its stores — by the end of 2008. The company will also broaden its menu of financial products and services, beginning with the launch of the Wal-Mart MoneyCard, a reloadable prepaid Visa rolling out nationally with GE Money and Green Dot.

Wal-Mart MoneyCenters will target consumers in the "unbanked" market — customers who are outside mainstream banking — with nationwide access to services including check cashing, money orders, bill payment, and money transfers.

"Many of our customers are paying too much, traveling too far and not being well served," said Jane Thompson, president of Wal-Mart financial services. "But they still need to pay their bills, cash their checks and transfer money. We’re offering them a safe place and a card to help them manage their money. We’ve seen firsthand what a difference that can make. It changes lives."

Wal-Mart currently conducts more than two million money services transactions each week. Last year, customers who used Wal-Mart’s services saved an average of $450 per year (or almost $40 per month). With the opening of additional Wal-Mart MoneyCenters, total savings are expected to grow dramatically this year, putting over $320 million back into customers’ pockets.

"The $40 our customers save each month can grow to become the down payment on a house or help pay for a child’s college education," said Thompson. "That’s our goal — to help our customers prepare and save for the future by giving them access to greater financial opportunities."

With 225 currently, Wal-Mart MoneyCenters will double to 450 by the end of this year and then more than double again to 1,000 by the end of 2008.