American Express can operate as a commercial bank

American Express can operate as a commercial bank

American Express has now received permissions from the Federal Reserve to operate as a commercial bank.

They received a special waiving off of the 30-day waiting period which was required for the approval.

Goldman Sachs Group Inc. and Morgan Stanley have already received similar permissions to operate as banks in the US market.

Incidentally, the company already operates and own two banks: American Express Centurion Bank and American Express Bank.

Company Chief Executive Officer Kenneth Chenault said in a statement: “Given the continued volatility in the financial markets, we want to be best positioned to take advantage of the various programs the federal government has introduced. We will continue to build a larger deposit base to broaden our funding sources.”