Monday, October 12, 2009

Gift Card Good News

American Express is going beyond what the new credit card law will require in its gift card provision.As of August 2010,the law forbids fees on gift cards held less than 12 months.AmEx is abolishing all such fees immediately,without exception.It used to charge two dollars a month on gift cards held a year or longer.To sum up:anyone who has an AmEx gift card,or plans to purchase one,should stop worrying that fees will eat up the balance.That won't happen anymore.It will be interesting to see if competitors will match AmEx's new policy.
AmEx stock rose 2.45 last week,closing at 34.94.It had a dividend yield of 2.1% at that price.The stock was up this morning in early European trading.

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