Wal-Mart Wants to Enter the Banking Business

Wal-Mart Stores Inc. is prepared to ask the U.S. federal government permission to operate its own in-house bank. It is expected to petition the U.S. Federal Deposit Insurance Corp. Monday to open a bank for checks and credit card payments.

“It’s a landmark battle in both U.S. business and financial services history,” said Jerry Comizio, a financial services lawyer for Thacher Proffitt & Wood LLP. Opponents are afraid such a venture could hurt local banks.

The American Bankers Association said in testimony prepared for Monday’s hearing, “The ABA believes that banking is too important to the nation to try such a risky experiment.” Wal-Mart promises that it will stay out of consumer banking.

also an interesting link http://walmartwatch.com/blog/archives/dont_bank_on_it_wal_mart/