Customers will be able to cash checks, pay bills and transfer money at 450 centers by the end of the year, double the locations open now, the company said today in a statement. Wal- Mart, based in Bentonville, Arkansas, also will offer its MoneyCard debit card nationally.

The expansion comes a month after the U.S. House of Representatives passed legislation to block non-financial firms, including retailers, from operating banks. Wal-Mart offers the services through partnerships with Visa International and General Electric Co.'s bank and plans to expand its financial products.

The MoneyCenters are the most profitable departments in stores, Jane Thompson, president of the Wal-Mart Financial Services, said in an interview today in New York.

Revenue from money services has climbed more than 30 percent annually since Wal-Mart began offering them about five years ago, she said in a conference call earlier. The retailer anticipates that pace will continue.

Increased Traffic

Wal-Mart intends to measure if the cards and additional MoneyCenters boost store sales and attract more customers, Thompson said in the interview. Traffic has declined every month this year. Sales at older locations rose 0.6 percent in the first quarter, the slowest gain since at least 1996.

"I think it will get them coming back more," she said. Customers visit Wal-Mart stores an average of 2 Ω times a week.

The retailer is testing four other financial products and plans to announce new services later this year, Thompson said during the call. She didn't elaborate.

Shares of Wal-Mart fell 22 cents to $48.59 at 4:29 p.m. in New York Stock Exchange composite trading. They have gained 5.6 percent since March 15, the day before Wal-Mart withdrew its bank application.

Wal-Mart cut prices on thousands of items in toys, electronics and groceries starting in October ahead of the holiday season to try to boost its image as the retailer offering products for the lowest cost and to offset higher gas prices, which have hurt Wal-Mart sales.

Profit Margins

The expansion of MoneyCenters is a more effective way to add shoppers than price cuts because the services have higher profit margins, Adrianne Shapira, a Goldman, Sachs & Co. analyst, wrote in a note today.

"That said, we question how fast debit card adoption rates will rise among these customers as it likely will take time to change customer behavior," she said. Shapira, based in New York, rates shares "neutral."

In March, it withdrew its 2005 application to open a Utah bank for payment processing amid opposition from legislators and lenders.

"It looks like they're building the infrastructure for a nationwide network of bank branches," said Steve Verdier, a lobbyist at the Independent Community Bankers of America, a Washington-based trade group that led the fight against Wal- Mart's bid.

MoneyCard users can make purchases with the prepaid Visa, pay bills or add more money to their accounts at Wal-Mart or through the Green Dot automated-teller network. It doesn't require a bank account or credit-background check. It's offered with GE Money Bank.

Wal-Mart's customers with lower incomes often don't have access to bank accounts and use the prepaid cards to deposit paychecks and pay bills, Thompson said. The retailer estimates about 73 million Americans don't have checking or savings accounts or credit cards.