American Express Increases Network in Pact with Guaranty Bank
by Justin McHenry
American Express announced a deal with Guaranty Bank last week that will result in Guaranty offering its customers a co-branded American Express Preferred Rewards Gold Card at its 150+ branches in Texas and California.
The deal is an extension of an existing partnership between the institutions. Last October Guaranty introduced “My Checking” accounts offering American Express Membership Rewards points, and Guaranty also has been offering a co-branded American Express Small Business Gold Card and a Platinum Business Cash Rebate Card to the bank’s small-business customers.
Deals of this type are generally a win-win–American Express widens its distribution and gains new customers, while the partner bank painlessly adds credit cards to its offerings. In most such partnerships, the co-branding bank also receives a bounty for each new cardholder it signs up as well as a percentage of purchases made with the cards. (American Express and Guaranty Bank offered no informations on the specifics of this particular deal.)