You have to track your rewards categories
Credit cards that offer different rewards rates in different areas of spending require some mental calisthenics. If you find it too cumbersome to manage such rewards tiers, a good alternative is a card that earns the same flat rate back on all of your spending. One option is the Citi Double Cash® Card, which earns the same rate on everything you purchase, whether in-person or online. With this card, you'll get 2% cash back: 1% when you make a purchase and another 1% when you pay your bill.
Rewards on in-store shopping are limited
For a co-branded card, 2% back on in-store Walmart purchases isn't exactly jaw-dropping. It's true that there's a way to earn 5% back on in-store purchases in the first year you have the card, but it's a temporary promotion that requires a specific payment method. If you prefer to do your shopping inside Walmart's brick-and-mortar stores, you'd do just as well after Year One with the Citi Double Cash® Card. Or if you're willing to put in a little extra work for extra rewards, consider the Discover it® Cash Back. It earns 5% cash back on up to $1,500 in combined spending per quarter in rotating bonus categories that you activate and 1% cash back on all other purchases. Previous bonus categories have included things like restaurants, gas stations, supermarkets and, yes, Walmart.com. The annual fee is $0, and it offers a unique bonus, which Discover phrases this way: "INTRO OFFER: Unlimited Cashback Match for all new cardmembers – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! There’s no minimum spending or maximum rewards. You could turn $150 cash back into $300.
There's no free shipping perk
Walmart.com itself advertises free shipping, but only on purchases of $35 or more. Other store cards, like the Target Circle™ Credit Card, offer free shipping to cardholders on all eligible items, no minimum purchase required. The Target Circle™ Credit Card also gives you the savings upfront, applying a 5% discount on eligible Target spending immediately at checkout, so you don’t need to keep track of how many rewards you have and when you want to redeem them.
There's no 0% intro APR period
The Capital One® Walmart Rewards™ Mastercard® doesn't come with an introductory interest-free window on purchases or balance transfers. Most other store cards don't either, but many cash-back credit cards do. The low end of the card's ongoing APR range is in line with the industry average, but not everyone will qualify for that rate.
You'll need good to excellent credit
If you're building or mending your credit score, the Capital One® Walmart Rewards™ Mastercard® may not be right for you. (The store-only version of the card is attainable for those with only average credit.) For more options, see NerdWallet's list of best rated credit cards.
Capital One® Walmart Rewards™ Mastercard® vs. other major store cards
The rewards structure on the Capital One® Walmart Rewards™ Mastercard® is relatively similar to two other cards aimed at those who place an emphasis on value pricing, getting most of their shopping done at one spot, or both.
Amazon's Prime Visa earns 5% back on Amazon.com and Whole Foods Market purchases; 2% back at restaurants, gas stations, plus local transit and commuting (including rideshare); and 1% back on everything else. The catch? Although the card itself has an annual fee of $0, you have to be an Amazon Prime member to apply, which costs $139 annually ($69 for students). A Prime membership comes with free shipping and all manner of unrelated perks you can't get elsewhere, but there is no such membership fee requirement for the Capital One® Walmart Rewards™ Mastercard®.
» MORE: Full review of the Prime Visa
If you’re weighing the Capital One® Walmart Rewards™ Mastercard® against the Target Circle™ Credit Card, the most notable difference is that the Target Circle™ Credit Card offers a 5% discount at checkout at Target or Target.com, as opposed to 5% cash back on brand purchases. (The Mastercard version of the Target Circle™ Credit Card offers the same 5% discount.) This makes a Target Circle™ Credit Card valuable and easy to use for Target loyalists, but there are no incentives for shopping outside of the Target brand, giving it less appeal as an everyday card.
