Amex to Pay $230 Million Over Misleading Sales Practices (1)

American Express Co. will pay about $230 million to resolve a long-running investigation into some of the firm’s prior sales practices which regulators said misled small-business owners.

Amex reached agreements with federal prosecutors and the Federal Reserve to settle the allegations, according to statements from the parties involved.

The misconduct stems from a practice where Amex workers offered products — including its Premium Wire service — as a scheme to lower taxes and earn credit-card points. Amex discontinued the Premium Wire offering and sales practices in 2021 and fired workers over the misconduct.

“When financial companies engage in deceptive sales ...