Amazon talking to banks about checking account-like product

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Well guess what? Your business is not safe from Jeff Bezos.

Amazon already has a few services that might help illustrate its financial vision.

Amazon is said to be in talks with JPMorgan Chase, Capital One and other banks and financial services firms about setting up an Amazon-branded checking account for its customers, according to The Wall Street Journal.

Though a final product has not been unveiled nor formally confirmed, it is claimed that Amazon does not aim to become a bank. negotiating with leading banks to develop a financial service that would offer features similar to a checking account for online shoppers. By controlling how Prime customers pay, Amazon can incentivize their loyalty and closely track their purchases.

It turns out that healthcare may not be the only new sector that Amazon is venturing into.

Though Amazon now offers credit cards to customers through Chase, a checking account is a step deeper into the wallets of customers. But again, Amazon is not trying to be a bank. It's possible that the expansion into banking could allow the company to reduce the fees it pays to banks and payment processors.

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.

"The Amazon effect is everywhere", says Glazer.

[Amazon's] more-than $700 billion market value eclipses the combined value of JPMorgan and Bank of America Corp, the two biggest US banks.

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