MONEY AND WORK

News from the Progressive Review, providing alternative news and comment for over four decades.

December 24, 2008

HOW MANY OF THESE FIRMS WILL END THEIR CREDIT CARD USURY?

Bloomberg - American Express Co., the credit- card company that's converting into a bank, will get $3.39 billion of fresh capital from the U.S. rescue fund to ensure its survival as the recession heads into a second year. American Express joins more than 190 regional banks, commercial lenders, insurers and card issuers seeking at least $75 billion from the second phase of the Treasury's bailout plan for financial firms. Faced with rising defaults by cardholders, the New York-based firm won Federal Reserve approval to become a commercial bank last month and announced in a statement today it gained access to the $700 billion Troubled Asset Relief Program. . . American Express rival Capital One Financial Corp. has preliminary approval for $3.6 billion from the U.S. and Discover Financial Services asked for $1.2 billion. Discover, based in Riverwoods, Illinois, was awarded bank holding company status last week.

AMERICANS NOT MOVING AROUND AS MUCH

0 Comments:

Post a Comment

<< Home