Tag: finance

Walmart banking

Wal-Mart is withdrawing its application for a bank charter, which aroused widespread opposition from banks, lawmakers and consumer groups, and spurred debate within Congress and before the FDIC

a sad win for the incumbents. they sure could use that competition.
2007-08-27:

Walmart failed to get approval for a bank. But the giant discount chain is effectively building one anyway. Wal-Mart said yesterday that it would rapidly expand the financial services offered in its vast network of stores, extending the reach of its retailing empire into its shoppers’ wallets and the traditional turf of the American banking industry.

i hope they can do that. this sclerotic industry needs some disruption. plus capturing the unbanked has upsides all around

Foreign transaction fee ripoff

I just got off the phone with Citibank after noticing a bunch of “Foreign Transaction Fees” on my bank statement — turns out that when you use your credit or debit card outside of the US, Visa and Mastercard charge 3% in transaction fees on the spend. It doesn’t matter if you use an ATM, buy over the Internet/phone, or walk into a store — the credit-card companies always dip their beaks.

the financial industry is totally ripe for disruptive innovation.