History of American Express
American Express was established in 1850, in Buffalo New York. It was started by Henry Wells and William G. Fargo as a joint stock company. Their first headquarters were in a building at the intersection of two streets in Manhattan namely the Jay Street and Hudson Street, which was later called as Tribeca section. For many initial years, American Express enjoyed the monopoly on the transfer of the goods and services etc. throughout the New York. Slowly and gradually American Express expanded its business. In 1854 it purchased Vesey Street in New York for its site and many other sites were purchased. A new warehouse was built, in 1880 at the 46 Trinity Place. By 1903, the amount of assets the company had were around $28 million, securing the second place after the National City Bank of New York which was among the top financial institutions of the city. As a result the company was able to purchase new assets and expand the business.
Quick facts about American Express
American express started as an express mail business in 1850, but since then it has become one of the most powerful lenders and investment companies in the world. As per the purchase volume it is the largest card issuer company in the world. Millions of transactions are handled daily by the company.
• It turned up to be the largest small business lender in the world.
• It leads the industry in a number of management account and payment tools for merchants and offers the latest products.
• It is considered to be the most innovative companies in the industry.
• With such an amazing list of achievements it makes their profile very fascinating.
Worldwide system of American Express
American express had expanded its business nationwide providing numerous facilities like; financial services, investment banking, card products, non- card products, advertising campaigns etc. It has also extended its business nationwide by gaining affiliation from various other express companies
Financial Services of American Express
American Express tried its hand in the area of financial services in 1857, by introducing and bringing forth the money order business in order to be in the competition with the United States post office’s money orders. Between 1888 and 1890, J.C. Fargo went to Europe and felt there were things which could be changed. He went to Marcellus Fleming to help himself find a better solution for the letter of credit that he used to carry even being a president. This was the time when the traveler’s cheque was introduced in 1891 in the denominations of $10, $20, $50 and $100. This traveler’s cheque helped the American Express to be named as a recognized international company. During the World War 1 in 1914, it was among the few companies to provide the letter of credits to the people as many other institutions refused to do so.
On seeing this effort done by the American Express, the British government appointed it as their official agent at the beginning of the World War 1. Their work was to deliver letters, money and other relief parcels to the prisoners. The agents of American Express visited the camps to cash drafts for both the French and the British prisoners and helped them to receive money from home. Around 150 tons of parcels were delivered per day to the prisons from six countries.
Traveler’s Cheque by American Express
It is considered to be the world’s largest traveler’s cheque provider. American Express cheque was started during the World War 1 and and it is further customized. This traveler’s cheque card was released in 2005 to the tourist, that served the same purpose as the traveler’s cheque but it could have also be used in stores like a credit card. Due to the changing market condition the use of the card has been discontinued, since October 31, 2007; but all the card holders were issued the refund for their respective remaining balances.
What it offers now
American express has continued to offer new products to its customers, and also delivers impressive offers to the credit holders and investors. The company offers various credit cards including:
• Gold delta sky miles with rewards of all purchases.
• Blue cash preferred card with bonus cash for tons of purchases.
• The business gold reward card with 4 premium benefits.
• The plum card for small businesses that spend significantly and want discount.
• Simply cash credit card with up to 5% cash back on select purchases.
There are a number of credit cards provided by the American Express to choose from all depending on what to purchase with your credit card. In addition to this it offers corporate and merchant cards, gift cards, saving accounts and CD’s.