Asda bolsters financial services offering

The new brand will target Leeds-based Asda’s 18 million shoppers and will be promoted at the check-out.

Asda has offered personal finance products for a decade, but will now offer an unlimited cash back credit card.

There are no plans for a current account but Asda Money will also offer travel money, which it promised would beat any rate within five miles of the store.

It will also provide breakdown cover, which it said will be over £50 cheaper than the AA and RAC for the equivalent cover.

Other services include travel insurance, offering free cover for children and grandchildren and unlimited medical expenses, car insurance, which has received a Defaqto 5 Star rating and home insurance which includes Home Emergency Cover as standard.

Kirsty Ward, head of Asda Money, said the credit card will appeal to shoppers frustrated with “gimmicky” points-based reward cards offered by other retailers.

“Times have changed and shoppers don’t want complicated points schemes or rewards that don’t translate into real every day savings,” she said.

Rivals Tesco and Sainsbury’s stepped into the personal finance sector more than a decade ago and have targeted more of the market as confidence in mainstream banks slips in the wake of the financial crisis.