AMEX close to bankruptcy

[bangkokrover]

I have an Amex Royal Orchid Platinum Card issued in Thailand. A lot of merchants here don't take it because the fee is much higher than other cards. Merchants that do take it obviously have to increase their prices. The most useful feature of the card is that in many cases it's like having a "We sell overpriced goods" sign in the merchant's window, so you can go for a discount. They also have a special offers program called "Sellects", which is also a rip off. Earlier this year they had an offer of pay 1 night at certain hotels and get the 2nd night free. The hotel I checked out was Lebua in State Tower. I can't remember the exact prices but it was something like, Amex offer USD330 per 1st night, 2nd night free. But when I phoned the hotel they quoted USD165 per night and that if I stayed 2 nights I could get a 3rd night free. I also negotiated a discount for not using Amex. As a customer I phoned Amex and told them that they were committing credit card fraud, they said they would look into it. I never heard any more from them and ended up not staying at the hotel anyway.

[FarangFatal]

Whats the bitch with Amex...I got my U.s. card swapped out for a Thai Miles card. Now as to cuttijng the line of credit.. OK, tht happened in about 755 of the accounts.. sorry if you were in the wrong asset level!

[beano]

All the captains of industry I used to hang with loved Amex cards. Gold, then platinum, they used to flash them at every opportunity.

I can't think of a single one of them that's still got one. Fees were too high, not enough businesses accepted them outside of the US.

[USVirgin]

About a dozen years ago I worked for a company that competed with AMEX at some level, so they decided to switch our company credit cards from them to Diners Club.

 

The card was pretty much useless to me in California. The only place I regularly went to on business where it was widely accepted was Hawaii, I guess because a lot of Japanese carried the card.

 

[rchapstick]

I once had a firm issued Diners Club. Other than airlines & hotels, it was worthless.

 

The only good thing about DC was it gave you primary auto insurance for free on rental cars.

[cavanami]

My Visa Gold card also offers the free rental car insurance, so nothing special.

[drogon]

Mastercard also does it...

(in addition there is a 5% discount on all my bills)

 

Never tried Amex...

[buffalo_bill]

You should . Very surprised to read about spending limits on Amex cards , normally they work after spending patterns meaning they honour any bill as long as it is within what you built up in their files as your normal lifestyle . Would you dramatically exceed it emptying the Prada shop at Gaysorn or buying a pickup for your tilac all that happens is that the vendor asks for additional identification , bill will be honoured then . I am the proud owner of an Amex green slumdwellers card . Anything else is bullshit and does only influence the owner's ego and Amex' fees . Amex is the best on earth , they offer a 24 hours hotline where you get immediate assistance . I love them .

[drogon]

Not many banks here offering amex...

and not many online shops taking amex either.

 

 

 

[buffalo_bill]

Let's see...AMEX charges the highest to the merchants' date=' charge fees for their cards and now they need a bailout?

 

WTF...where did all there billions go???

 

Need some serious answers on this one![/quote']

 

 

Same, same.

 

Where did all the money go?

 

And these boobs are still flying their multiple private jets. Oh, and limos to the airport and back.

 

Amex , like most other financial business in need , is operationally successful . I think the reason for the current mess is mostly not understood .

 

Let's say Amex has receivables of 10 billion US , based on a capital stock of between 3to 7 % , depending on local regulations . The rest are loans from other banks or similar repayable debts . These debts are revolving and have to be renewed on permanen t basis . Once this floating process stops because their creditors do not trust Amex any more due a silly post on the Nanaplaza Board , it all collapses . The US government will then replace others as a creditor or guarantees Amex' debts to make them a trustworthy debitor again . The whole banking system is based on constant mutual supply of liquidity and currently it is in disorder due to lack of mutual trust .

 

" Where did all the money go " ? Into profits which is why Amex exists , cost , and into repaid loans , see above . They do not have a warehouse full of bucks somewhere in the desert .

 

Salaries and travel facilities within a private company are up to the shareholders to grant and nobody else's concern . We are the Land of the Free ( enterprise ) , aren't we ?

 

Would the US government have to bail them out , in fact replacing the shareholders, they could set new terms . This is the current German idea to proceed by limiting salaries to 500.000 â?¬ but the result is that the bankers are reluctant to ask for public help for that reason .