Summary
This 8-K filing from American Express Company (AXP) provides updated credit performance statistics for its U.S. Consumer Services (USCS) and U.S. Small Business Card Member lending portfolios for the months ending May 31, June 30, and July 31, 2017. The report aims to give investors a more granular view of the company's credit quality beyond what is reported in the American Express Credit Account Master Trust's (Lending Trust) 10-D filings. Key metrics disclosed include 30-day delinquency rates and net write-off rates for both consumer and small business segments. Overall, the presented data indicates stable credit performance during the period. Delinquency rates remained consistent, and while write-off rates showed some minor fluctuations, they stayed within expected ranges. The company also provided specific data for the Lending Trust, noting that its performance may differ from the overall portfolios due to various factors like loan mix, vintage, and calculation methodologies.
Key Highlights
- 1American Express is providing updated delinquency and write-off statistics for its U.S. Consumer Services and U.S. Small Business Card Member lending portfolios.
- 2The data covers the monthly periods ending May 31, June 30, and July 31, 2017.
- 3For U.S. Consumer Services (USCS), 30-day delinquency rates remained stable at 1.1% for May and June, increasing slightly to 1.2% in July. The net write-off rate fluctuated between 1.7% and 1.8%.
- 4For U.S. Small Business, 30-day delinquency rates were consistently 1.1%. The net write-off rate increased from 1.5% in May to 1.9% in July.
- 5Total U.S. Consumer and Small Business Card Member loans grew from $58.5 billion to $59.3 billion over the period.
- 6The filing also includes credit performance data for the American Express Credit Account Master Trust (Lending Trust), showing a stable annualized default rate (net of recoveries) between 1.3% and 1.4% for the period.