Walmart to create fintech start-up with investment firm behind Robinhood

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Walmart says it’s creating a fintech start-up with Ribbit Capital, one of the venture capital firms behind Robinhood.

"For years, millions of customers have put their trust in Walmart to not only save them money when they shop with us but help them manage their financial needs," Furner said in a news release. "And they've made it clear they want more from us in the financial services arena."

Six percent of adults don't have a checking, savings or money market account, according to the Federal Reserve. About 16% are "underbanked," meaning they have a bank account but also use alternative financial service products, like a money order. Those Americans are more likely to turn to short-term solutions, such as a pawn shop or a payday loan, which can lead to additional charges or high interest fees.

 

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