American Express fined $350M for gaps in its anti-money-laundering controls

Federal regulators have imposed a $350 million fine on American Express Company for systemic failures in the credit card giant's money-laundering detection programs. The Office of the Comptroller of the Currency and the Federal Reserve jointly identified that the bank's monitoring shortcomings allowed around $13 billion in suspected trade-based money laundering to go undetected over the past decade.

While the penalty will not impact the company's 2026 financial guidance, it signals heightened regulatory scrutiny in the banking sector. American Express indicated that ongoing compliance remediation costs will not hinder the company's long-term financial performance or its outlook for 2027. The stock experienced a near 2% decline in after-hours trading following the announcement.

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