“In boxing, there’s an old saying: A good big man always beats a good little man.
We’re about to find out if the same holds true in the online lending space, where among the biggest of the biggest — that would be American Express — is about to take on the speedy and smaller upstarts within FinTech, namely Square and OnDeck Capital.
No sparring here; this may turn out to be a main event. As Bloomberg reported on Tuesday (July 5), Amex is on the cusp of going live with an online lending platform that will be geared toward small business clients, and the move is a direct jab at those FinTech firms just mentioned.
The Amex platform, which is slated to be unveiled this year, will be called Working Capital Terms, and the gist of the offering is that it will give a client base — namely, small businesses that already have Amex cards — loans that can range from the minute ($1,000) to the momentous ($750,000). The fact that the relationship is already in place with the would-be working capital borrower means that loans can be approved with relative ease and speed, likely within minutes.”