Wal-Mart to Stop Taking MasterCard Debits

[shawn703]

CHICAGO (Reuters) - Wal-Mart Stores Inc. (NYSE:WMT - news) said on Wednesday it would stop accepting MasterCard for certain debit-card transactions, the first major retailer to make such a move after a seven-year battle over fees.

Wal-Mart, the world's biggest company, said it will no longer accept MasterCard for debit-card transactions that require a signature, as of Feb. 1.

The move was seen as a blow to MasterCard, which is struggling with a market share one-fourth the size of Visa's in the signature-based debit area. Not only will MasterCard lose the business of Wal-Mart, but it could suffer further if other large retailers follow suit, analysts said.


more...
http://story.news.yahoo.com/news?tmpl=story&cid=1896&ncid=1896&e=2&u=/nm/20031203/us_nm/retail_walmart_mastercard_dc

[shawn703]

1. Who am I supposed to feel sorry for with this?

The poor old credit card company, or the poor old mega-retailer? I just can't decide...

[Sequoia]

2. Bravo!

They're all scum bags. We hate Wal-Mart anyway and I hate their commercials with fat dopey looking people and if I were one I'd be insulted.

[soleft]

3. Feel sorry for me

I don't have any credit cards and I use my debit card instead.

[ramapo]

5. Why?

Just curious...I've never used the debit option on my ATM card. I don't even like it being there. Makes me nervous for some reason.

I always use my credit card and pay it in full each month. It does take some discipline to not overcharge.

[shawn703]

6. Convenience

I use my debit card too. Saves me from having to carry around a checkbook, or having to find an ATM for my bank. (I'll be damned if I'm going to pay 4 or 5 dollars to take out 20 dollars from another bank.)

[Code_Name_D]

12. Saves money. Lots of it.

Oh sure, you may pay it off at the end of the month. But you are STILL paying intrest on the balance. Just not a full months intrest. Trust me, its in there. It just dosn't make sences to put a gall of milk on a credit card.

And besides, its going to come out of your bank acount any way. Why not withdrawl your milk money directly from the bank.

The debit card is exactly like a check. That is why the sig is required. All though the transaction if recorded and prosses electronicly, if a dispute arises, they still have a signed recept that you are libel for, just like a check.

The banks have insisted on this, becase in disputes, that sig is gold. If you wish to chalange a transaction, you can always go back and look at the sig and say - that is not mine. And the bank will back YOU up becase your signiture will be on there files, and this will stand up in court.

Not so with a credit card.

[classics]

17. Grace period.

Unless your using a credit card with less than a 1 month grace period, there is no interest charged if you pay it all off at the end of the month.

[Undemcided]

30. Me too.

You can't spend what you don't have. I like that.

[HuckleB]

15. Well...

it does diminish what little competition there is in the debit/credit card biz. One has to wonder what backroom deals were made between Wal Mart and Visa. Am I crazy to think that sort of conspiracy stuff? Maybe. But nothing surprises me anymore.

[loudnclear]

18. This is the old corporate squeeze...

this is how it's done folks. You align yourself with the biggest customer and then squeeze out the competition. When Japan was doing this with suppliers we cried fowl but they were just using one of our tactics. It's not competition, it's "monopolition" practiced by the Corporcrats.

[djg21]

24. Walmart will continue accepting debit cards!

This is simply a negotition.

After recently procuring a huge settlement (the largest civil antitrust settlement ever) against Mastercard and Visa in a lawsuit in which a class of retailers including Walmart alleged an unlawful tying arrangement in violation of the Sherman Antitrust Act (i.e., You can only accept our credit cards if you accept our debit cards too, and btw, the fee for processing debits happens to be astronomical), Walmart and the retailers are now trying to press the credit/debit card companies for better terms with respect to the debit card processing fees.

As a practical matter, consumers are now accustomed to using check or debit cards, and Walmart will not risk alienating its customers. The companies will reach an accord.

[maxsolomon]

4. one country, one party, one store, one credit card

one media congomerate, etc, ad nauseum.

time for a new teddy roosevelt to break up the monopolists!

[sexybomber]

7. sounds like "Ein Volk, Ein Reich, Ein Führer"

Ein Bankcard.

[maxsolomon]

10. yeah that what i wanted to say

but i forgot the phrase.

i like ein bankkard. ein superstore!

[Gin]

8. debit cards work well for me..I have a receipt to add to my checkbook...

the purchase is paid for...unlike using the standard credit card
and I have overdraft protection.

[Sir_Shrek]

9. I don't even have a Mastercard anyway....

...oh well.

[JeebusH]

11. I don't even have a Wal-Mart near me anyway....

thank god!!!!

[progressiverealist]

21. lucky you... I've got friggin' THREE in a city of 50,000

and a dying downtown

[newyawker99]

20. Hi Sir_Shrek!!

Welcome to DU!! :toast:

[SCantiGOP]

13. Wal Mart WILL take Mastercards

If you read the whole article, it says that they will take MC Debit cards if the customer puts in the PIN #. Ain't no way they're going to turn away a paying customer.

[4farmgun]

14. Don't go to wal mart

if you dont want to. I have never seen a wal mart in the middle of nowhere. There are always other stores in the immidiate area to give your money to. If wal mart made a bad choice they will reverse it. As always shop with your wallet

[progressiverealist]

22. wish that were true

I have other options, so always avoid wal mart, but everyone isn't so lucky. Because of their predatory business practices, Wal-mart is the only option for some folks in or around smaller towns, unles they want to drive a long way.

[beevul]

27. I hear that....

"Wal-mart is the only option for some folks in or around smaller towns, unles they want to drive a long way."-progressiverealist

I live in Yuma AZ. The devil vacations in hell when it gets too hot here...lol. Phoenix is like 180 miles from us, and thats where the closest "better than here" selection of stores is. Too long to drive.
Way too long.

The k-mart that was here, was one of those "super" stores with food, etc. Now gone. We have albertsons, and fry's, but only about 50% of the time at best do they have better deals than wallyworld. It sucks, but for me and my GF, we CAN'T afford to stray from wally's much. I wish it weren't so. We DO shop at sams club when we can, especially to stock the pantry. You get SO much for the money when you buy bulk.

"As always shop with your wallet"-4farmgun

I know you may not have meant it this way, but we burned our credit cards in a pagan ceremony over our firepit. We no longer spend more than we have. We just didn't have enough self restraint, so they're gone. Cash and carry for us now. The only loan we have left is on the house....sigh, 15 years to go....

[karlschneider]

23. They are the only grocery store within 25 miles here in Wagoner, OK.

As much as I hate them, I'm not driving 50 miles to get a bag of food.
They built the thing, ran Homeland out of business then leased the old Homeland building so nobody else like "Save-a-lot" could open up.
:grr:

[SemperEadem]

16. well, if they can't compete in the marketplace, then they need to go

[Zhade]

25. It's the predatory policies, not the competition, that pisses people off.

I'm all for fair competition.

Wal-Mart does not work that way.

[GregW]

19. Wah-wah-wah! Another bash-Walmart thread

Cry me a freakin' river.

[HuckleB]

28. Well, it apparently bothers you.

Why is that?

[tkmorris]

29. This is puzzling

If you'd like to tell us all why Wal-mart doesn't deserve this "bashing" as you refer to it, please feel free to debate. I believe that hearing your opinions on this matter would facilitate far more lucrative a discussion than a flippant and overused taunt.

[Scairp]

26. This is bad

My debit card used to be on the Visa system, but when they sent my new one a couple of months ago they had switched to Mastercard. If others start doing this as well I am in trouble. Some stores only take credit cards and you must sign for it. If they stop doing that then it will cause huge problems for a lot of people trying to shop. I don't like writing checks and prefer to use my debit card if at all possible.