The giant retailer has applied for a licence to set up a national bank, which would be called Wal-Mart Canada Bank — La Banque Wal-Mart du Canada in Quebec — and will be based in Mississauga.
The U.S. based parent of Wal-Mart, founded by Sam Walton in Arkansas, has tried and failed to establish a bank in America several times, where there has been strong public opposition. The company's Mexican subsidiary already has a bank.
One of the reasons for the bank would be to host a Wal-Mart credit card, company spokesman Kevin Groh told The Montreal Gazette.
"Our interest is in setting up a bank that would offer low-cost financial services, many of them common to other Canadian retailers," Groh said. "(The bank) would serve our existing business, and we've done a very good job at being a low-cost provider, whether in products or services."
The official filing of the notice of the licence application in the Canada Gazette did not give any details about what special services may be offered.
"That would be premature," Groh said.
Over time, Wal-Mart could offer lower-rate loans, mortgages, registered savings plans and guaranteed investment certificates.
Some minor financial services are already offered by the company, which has its offices near Mississauga Rd. and Hwy. 401 in Meadowvale. Those include wire transfers, emergency bill payments, extended warranties, as well as automatic telling machines.
jstewart@mississauga
