American Express Does Not Offer Savings Accounts

American Express is primarily a credit card and payment company, not a bank that takes deposits. They do not offer savings accounts, checking accounts, or money market accounts where you can store your money and earn interest. If you are looking for a place to keep savings with a competitive interest rate, you will need to look elsewhere — either a traditional bank, an online bank, or a credit union.

This matters because savings accounts and credit cards serve different purposes. A credit card is a borrowing tool: you spend money now and pay it back later, usually with interest if you carry a balance. A savings account is a storage tool: you deposit your own money, it stays there, and the bank pays you interest on it. American Express specializes in the first, not the second.

Key Takeaways

  • American Express does not offer savings accounts, checking accounts, or deposit products of any kind.
  • American Express is a credit card and payment company, not a depository bank.
  • If you want to earn interest on money you are saving, you will need to open an account with a bank, online bank, or credit union instead.
  • You can use an American Express credit card for spending and rewards, but it is not a place to keep your savings.
  • Some online banks and credit unions offer both high-yield savings accounts and credit card products, so you can use one institution for both needs.

What American Express Actually Offers

American Express offers credit cards, charge cards, and payment services. Their credit cards let you borrow money to make purchases, earn rewards points or cash back, and pay the balance over time. Their charge cards require you to pay the full balance each month. They also operate payment networks and merchant services for businesses.

None of these products hold your money in the way a savings account does. When you use an American Express card, you are borrowing from American Express (or agreeing to pay them back when ready, in the case of a charge card). The money you spend comes from your own bank account or your own credit line — not from American Express.

Where to Find a Savings Account Instead

If you want to save money and earn interest, you have several options. Online banks like Marcus, Ally, and Discover offer savings accounts with interest rates that change based on market conditions — currently higher than most traditional banks. Traditional banks like Chase, Bank of America, and Wells Fargo offer savings accounts, though their interest rates are typically lower. Credit unions are member-owned financial institutions that often offer competitive rates on savings accounts.

The interest rate you earn on a savings account varies by institution and changes over time. When you are comparing options, look at the current annual percentage yield (APY) — this tells you how much interest you will earn in a year. You can also ask whether the account has monthly fees, minimum balance requirements, or limits on how many times per month you can withdraw money.

Using American Express Alongside a Savings Account

You can absolutely use an American Express credit card for everyday spending while keeping your savings in a separate account at a bank or credit union. Many people do this: they use a rewards credit card for purchases (and pay it off each month to avoid interest charges), and they keep their emergency fund or savings in a high-yield savings account elsewhere.

If you want to consolidate and use one institution for both needs, some online banks and credit unions now offer both savings accounts and credit card products. This can make it simpler to manage your money in one place, though it is not required. You can mix and match — use American Express for credit, use a bank for savings.

Why American Express Does Not Offer Savings Accounts

American Express is a credit card company, not a bank licensed to take deposits from the public. To offer savings accounts, a financial institution needs a banking charter and federal deposit insurance (FDIC insurance for banks, or NCUA insurance for credit unions). This requires different regulatory oversight, different capital requirements, and a different business model than a credit card company operates under.

American Express has chosen to focus on their core business: credit cards, charge cards, and payment networks. This is a deliberate choice, not a limitation. Some large financial institutions do both — like Chase or Bank of America — but American Express has built its business around lending and payments, not deposit-taking.

What Happens to Money You Spend on an American Express Card

When you make a purchase with an American Express card, the money does not go into an American Express account. Instead, American Express pays the merchant on your behalf, and you owe American Express that money. You then pay American Express back from your own bank account, usually by the due date shown on your statement.

If you do not pay the full balance by the due date, American Express charges you interest on the remaining balance. This interest is separate from any rewards you may have earned. The money you owe stays in your own bank account until you send it to American Express — it is not held or managed by them.

Frequently Asked Questions

Can I earn interest on an American Express card balance?

No. If you carry a balance on an American Express credit card, you pay interest to American Express — they do not pay you interest. Interest rates on American Express cards vary but are typically in the range of 15% to 25% annually. The only way to avoid this interest is to pay your full balance by the due date each month.

Does American Express have any products where I can store money and earn interest?

No. American Express does not offer savings accounts, money market accounts, or any other deposit products. All of their products are credit or payment related. If you want to earn interest on money you are saving, you need to open an account with a bank, online bank, or credit union.

If I have an American Express card, where should I keep my emergency fund?

In a savings account at a bank, online bank, or credit union — not with American Express. Look for a high-yield savings account, which currently offers better interest rates than traditional bank savings accounts. You can keep your emergency fund there and use your American Express card for everyday spending.

Can I transfer money from my American Express card to a savings account?

Not directly. You cannot move money from an American Express card to a savings account the way you might transfer between two bank accounts. However, you can use your American Express card to make a purchase or cash advance, then deposit that money into a savings account using your own bank account. Be aware that cash advances typically come with higher interest rates and fees.

Does American Express own any banks that offer savings accounts?

American Express has partnerships with some banks and financial institutions, but does not own a retail bank that offers savings accounts to the general public. They focus on their core credit card and payment business.