tag:blogger.com,1999:blog-4801214614705496814.post5390768864949729991..comments2023-08-15T07:51:13.414-07:00Comments on A Blog Worth Reading...Bridgeway2Success: Let's Become a Bank So That We, Too, Can Participate in the Bailout!Maryhttp://www.blogger.com/profile/16545848904070921301noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-4801214614705496814.post-14635332924157972132008-11-12T11:08:00.000-08:002008-11-12T11:08:00.000-08:00Ha! You're funny. Yeah it would be nice to get tha...Ha! You're funny. Yeah it would be nice to get that status and take advantage of gov't investment. Of course the "bailout" is supposed to focus on those banks that can more-or-less prove that the investment will yield a return for the taxpayers in time. AMex may not fit that description.<BR/><BR/>I doubt the move from credit card bank to real bank (holding company) will do much for American Express. AMex doesn’t really have any branches to help it expand its services or take advantage of bank products that aren't struggling. In fact, it draws much of its income from repackaging and selling the balances that customers agreed to pay off when they signed the contract. As they cut customers available balances, they cut the potential of these packages' sale value. This is also an area of investment which probably has the least amount of positive attention from investors right now. Few people are interested in buying debt. Sorry AMex; it may be curtains for ya! What AMex does have going for it, is its history of willingness to sign with only the most worthy customers. Even AMex is feeling the crunch but, compared to most credit card-focused lenders, it serves people more likely to keep their bill in good standing.Gavinhttps://www.blogger.com/profile/02381767082087737627noreply@blogger.com