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American Express, PayPal expand strategic partnership

New York-based American Express Co. and San Jose, Calif.-based PayPal Holdings Inc. entered into an expanded strategic partnership aimed at improving the digital payments experience for U.S. American Express card members paying with PayPal and New York-based Venmo LLC.

The two companies will work together on solutions for mutual customers to include the use of membership rewards points for purchases made through PayPal. Under the agreement, both companies will also explore more digital products.

The members will be able to use reward points for purchases at PayPal merchants online and send money via Venmo and Paypal. Members will also be able to pay their American Express bill with their PayPal or Venmo balance, among other benefits. PayPal is set to integrate into the American Express Token Service and continue its global card acceptance relationship. The two companies will collaborate to implement all the new features over the course of 2019.