American Express announced this week that it would be the first to have its open-loop gift cards sold in U.S. Post Offices beginning this June. The announcement follows on an earlier announcement in April where the Post Office said it would conduct a two-year test and sell cards offered by the major card brands. The U.S. Postal Service did not specify which ones and said that it would consider testing closed-loop cards.
A U.S. Postal Service spokeswoman said AmEx gift cards are the first to be sold in post offices. The program is open to other companies.
The move with American Express opens up a whole new line of business for the Post Office, which has been struggling with declining mail volumes in recent years. The future for the U.S. Postal Office may lie in following the lead of post offices in other countries, which also offer financial services.
Read the story here: http://www.businessweek.com/ap/financialnews/D9N44DB80.htm
Read the American Express announcement here: http://about.americanexpress.com/news/pr/2011/usps.aspx
Read the earlier story here: http://www.google.com/hostednews/ap/article/ALeqM5hFWJwpWLtBJrzrc-bF_OjcIFHrJQ?docId=34bca52768c743b3aef0b3e4cd0baaf3