American Express Escalates Business Banking War With High-Yield Savings Launch

American Express launched a new high-yield Business Savings account as part of its strategy to add integrated financial solutions to Amex Business membership, the company said in a Tuesday (Sept. 15) press release.

The high-yield Business Savings account offers an annual percentage yield (APY) of 2.95%, as of Tuesday, together with no minimum balance, no monthly maintenance fees, and the ability to make and receive transfers online or through the Amex App. The APY can change at any time before or after the account is opened, according to the release.

American Express also announced in the release that customers can now apply for Business Savings, Business Checking or both through a single application and that they can manage their banking alongside their American Express card products online or in the Amex App. By bringing Business Savings and Business Checking together under American Express Business Banking, the company aims to create a more connected banking experience for businesses, the company said in the release.

The changes are part of American Express’ strategy to add integrated financial solutions to Amex Business membership. The strategy will also see the company introduce a new way for Graphite Business Cash Unlimited Card members to redeem Reward Dollars for deposits into their Business Checking accounts later this year and launch a new payroll solution powered by Gusto with artificial intelligence-powered insights early next year, per the release.

“Businesses are looking for more value from their banking services, including competitive returns and simple tools that help them automate processes and fit seamlessly into how they operate,” Eva Reda, executive vice president of global commercial services at American Express, said in the release. “With Amex Business Banking, businesses now have banking tools that make it easy and rewarding to manage their finances, all in one place.”

American Express reported in July that during the second quarter, its commercial billed business rose 5%, with small- to medium-sized businesses (SMBs) in the United States and large/global corporations growing at the same rate; travel and entertainment spending among commercial customers rose 8%; and the company began piloting a new expense management platform with middle-market customers.

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