Amazon Might Launch A Branded Checking Account With Big Banks

AFP  Getty Images

AFP Getty Images

Dick Bove, a notable banking analyst at Vertical Group, told CNBC that Amazon has the capabilities to collect deposits so long as it doesn't issue any loans, CNBC said. The retailer would target "young consumers" and people without access to traditional checking accounts, the report says. Walmart attempted the bank route 20 years ago, but the industry got then-Fed chief Alan Greenspan to shoot that down.

JPMorgan Chase is one of the big banks that Amazon is said to be partnering with, a sign of the growing relationship between Bezos and JPMorgan CEO Jamie Dimon following the insurance announcement. With services like Prime Instant Video and Prime Music on offer alongside a recent slew of products coming from Amazon's acquisition of Whole Foods, it's clear the company wants to become their customers' one-stop shop for entertainment and shopping.

A spokesperson for JPMorgan Chase declined to comment on the WSJ story. That's probably because Amazon would apparently work with the big financial firms as opposed to trying to pull an end around on them.

It has always been speculated that Amazon would eventually make its way into the banking sector, and a recent survey indicates that it could gain some traction by taking that step.

Farm Groups Concerned About China Trade War
And Chinese officials want to preserve the overall ability of Chinese companies to continue investing in the United States. Foreign Ministry spokeswoman Hua Chunying merely said in Beijing Friday that China urges the follow trade rules.

Though Amazon now offers credit cards to customers through Chase, a checking account is a step deeper into the wallets of customers.

Amazon already has a small business lending arm, but a move for retail bank accounts would mark a new front in its expansion efforts.

The company is trying to bring Amazon Pay to brick-and-mortar stores, the WSJ report said, adding that it is likely to begin with Whole Foods, which Amazon bought previous year.

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