WASHINGTON: Federal investigators began probing American Express Co's small business and consumer cards sales practices in January, the company disclosed on Friday.
Amex received a subpoena from the United States Attorney's Office for the Eastern District of New York regarding its small business cards sales practices, Amex said in a regulatory filing. The Consumer Financial Protection Bureau (CFPB) also demanded information on its sales practices related to consumers.
"We are cooperating with all of these inquiries and have continued to enhance our controls related to our sales practices. We do not believe this matter will have a material adverse impact on our business or results of operations," Amex said in the filing.
Since May 2020, Amex has also been cooperating with a review led by the Office of the Comptroller of the Currency (OCC) and the Department of Justice regarding historical sales practices relating to certain small business card sales, the company said.
Spokespeople for the Department of Justice, the CFPB and the OCC did not immediately respond to requests for comment.
(Reporting by Michelle Price; Additional reporting by Chris Prentice; Editing by Richard Chang)