Last year Wal-Mart made an offer to buy Franklin Bank of California, an ILC. Its efforts were stymied when California lawmakers prohibited nonfinancial institutions from buying ILCs. Owning an ILC in Southern California could have affected more than Wal-Mart customers in the Golden State. For example, Wal-Mart could have used the bank to handle debit transactions for all its stores, reducing the company's costs.
While Wal-Mart has some financial services already in place - payroll check cashing, money orders and transfers - it has no current plans to purchase an ILC, said spokesman Tom Williams.