WASHINGTON – Capital One Financial, the nation’s third-largest issuer of store-branded plastic, said Tuesday that it agreed to sell its portfolio of Best Buy credit card accounts to Citigroup, just two years after buying it.
The McLean, Va.-based financial firm also did not disclose the sales price but said that the value of the Best Buy accounts is $7 billion.
Capital One said there would be no significant gain or loss on the transaction, which it expects to close in the third quarter.
Two years ago, Capital One leaped to the front of the store card business with the $2.6 billion purchase of HSBC’s U.S. credit card portfolio, which included the Best Buy affiliation.
Best Buy, based in Richfield, did not respond to requests for comment. The sale includes Best Buy cards that can only be used at its stores and MasterCards bearing the retailer’s name that can be used anywhere.