American Express seeks $3.5B

NEW YORK (AP) -- American Express Co. is seeking $3.5 billion in funds under the government's plan to directly invest in financial firms, according to a Wednesday report in The Wall Street Journal citing unnamed sources.

Earlier this week, American Express received approval from the Federal Reserve to become a bank holding company, which is a similar structure to traditional commercial banks (see previous story). The credit card company now has access to financing from the Fed and the ability to grow a large deposit base.
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