Wal-Mart has withdrawn its controversial application for a bank charter, ending a potential foray into the retail bank market. The big-box retailer’s plans to set up its own bank had drawn fire from banking and consumer groups, who feared it would stifle competition. The company, for its part, calls the protests "manufactured controversy."
Wal-Mart claimed its banking bid was about payment processing, not branch banking for consumers. But opponents disputed that intention, and the withdrawal came one day after a Republican member of the House Financial Services Committee accused Wal-Mart of "deception and dishonesty" about its plans