By Jack Lee
American Express faces lower profits, requests $3.5B aid. Treasury secretary may put it on his Visa. The Federal Reserve said on Monday they were granting a request by American Express to become a bank holding company. This gives them the technical right to apply for some of that 750 billion in bailout money.
The Fed approved the application for American Express and a related company, American Express Travel Related Services, to become bank holding companies. However, relieving the bad debt associated with credit card companies marketing plastic to everyone over the age of 18 was not the original intent of the massive Fed bailout.
It’s your money…what do you say?