American Express Bank Hit With $350 Million Penalty Over AML Reporting Failures
American Express National Bank agreed to pay a $350 million civil penalty to the Office of the Comptroller of the Currency for failing to identify and report about $13 billion in suspicious activity from June 2014 to May 2025. The Federal Reserve separately issued a cease-and-desist order against the parent company and its travel-services unit, requiring remediation plans within 90 days but no additional fine. The settlement did not include an asset cap, and the market reaction was relatively muted.
American Express National Bank’s $350 million OCC penalty concerns failures to identify and report about $13 billion in suspicious activity from June 2014 through May 2025. The Fed’s separate order covers the parent and travel-services unit, mandating remediation plans within 90 days while adding no further fine.
The bank resolved the matter without admitting the findings and avoided an asset cap, unlike TD Bank’s 2024 $3 billion case and U.S. growth restriction. Amex had set aside part of the penalty and maintained full-year EPS guidance of $17.30–$17.90; shares closed up 1.27% at $308.10, then fell roughly 1.7% after hours.
The resolution may affect banking customers indirectly: stronger monitoring could catch more suspicious card transactions, but it may also add friction, delays, or extra documentation for some users. Employees and compliance teams could face heavier workloads and oversight. Because no asset cap was imposed, consumers and businesses may see less disruption to Amex credit availability. Broader confidence in AML enforcement could improve if remediation works, though the unreported activity’s actual nature remains unconfirmed.