NEW YORK - Wal-Mart's Sam's Club chain is teaming with a lender to offer loans of up to $25,000 to its small-business members.
The program is one of several moves the retail giant has made to offer bank-like financial services to customers, in part to help them spend. It also comes as the retailer tries to improve profitability at its warehouse-club chain.
The division of Wal-Mart Stores Inc., based in Bentonville, Ark., is testing a program with Superior Financial Group, one of 13 federally licensed nonbank lenders, to offer $5,000 to $25,000 loans to members who qualify. It'll focus on minority-, women- and veteran-owned businesses. They don't have to spend the money at Sam's Club.
Sam's Club says 15 percent of its business members reported they were denied a loan in a November survey. That's up from 12 percent in April 2009.
Sam's Club members who apply for a small business loan during the pilot will get $100 off the application fee, a 20 percent discount and a discount on interest rates.
ASSOCIATED PRESS
