Wal-Mart Stores, Inc.'s
) Sam's Club has recently announced that it will issue chip-enabled
credit cards in order to secure customer data from hackers. The
card is co-branded by
) and is issued by GE Capital Retail Bank.
The new credit card would be issued as part of Sam's Club 5-3-1
cash back program, which will start from June 23. Under this
program, Sam's Club members can get cash back up to 5% on fuel, 3%
on dining and travel, and 1% on all other purchases. The cash back
program is available to members of Sam's Savings, Sam's Business
and Sam's Plus in the U.S. and Puerto Rico.
Under this program, members can get cash back up to $5,000
annually. Not only this, no annual fee is required for members of
Sam's Club. The credit card can be used anywhere around the world
where MasterCard is accepted.
The card offers warranty coverage for consumers and warranty
insurance for the businesses. The card also provides Identify Theft
Resolution Services for Consumers and MasterRental Coverage for
Businesses, which means that the card will provide enhanced safety
from fraudulent activity.
The new Sam's Club MasterCard is expected to boost sales and secure
customer data during transactions. The credit card security has
been a concern lately with multiple data breach incidents. Several
) have had the bitter experience of massive attacks on consumer
Wal-Mart, with its huge database in more than 11,300 stores
across 27 countries, has thus put a lot of focus on providing this
extra layer of security. These new credit cards are more secure as
the chip-enabled technology makes it difficult to duplicate. Thus,
the data stays safe between the customers and the concerned
Wal-Mart currently carries a Zacks Rank #4 (Sell).
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