What specific credit metrics are provided in this filing?

This filing provides preliminary statistics on total loans, 30-day past due loans as a percentage of total loans, and net write-off rates (principal only) for both the U.S. Consumer and U.S. Small Business Card Member lending portfolios. It also includes similar metrics for the American Express Credit Account Master Trust.

How stable are the delinquency and write-off rates for AXP's U.S. Consumer portfolio?

For the U.S. Consumer Card Member loans, the 30-day past due rate remained stable at 1.3% for July and August, rising slightly to 1.4% by September 30, 2018. The net write-off rate showed a slight improvement, decreasing from 2.2% in July and August to 2.0% by September 30, 2018.

What is the trend for the U.S. Small Business portfolio's credit performance?

The U.S. Small Business Card Member loans showed a positive trend in credit performance during the reporting period. The 30-day past due rate remained steady at 1.1% across all reported months. The net write-off rate improved significantly, declining from 2.0% in July to 1.5% by September 30, 2018.

Why are there separate statistics for the American Express Credit Account Master Trust?

The American Express Credit Account Master Trust holds securitized Card Member loans. The filing notes that these securitized loans may not have identical characteristics to the total U.S. Consumer or U.S. Small Business Card Member loan portfolios. Therefore, their credit performance (e.g., default rates) might differ due to factors like loan mix, vintage, aging, and the calculation methods used for reporting write-offs.

AXP 8-K: Regulation FD — Oct 15, 2018

Summary

This 8-K filing from American Express (AXP) provides a snapshot of key credit performance metrics for its U.S. Consumer and U.S. Small Business card member lending portfolios as of and for the months ended July 31, August 31, and September 30, 2018, along with the three months ended September 30, 2018. The filing offers preliminary data, highlighting trends in loan balances, delinquency rates, and net write-off rates. Investors can use this information to gauge the health of AXP's loan book and its ability to manage credit risk. The data indicates relatively stable credit performance across both consumer and small business segments during the reporting periods. While there are minor fluctuations, the 30-day past due percentages and net write-off rates remain within a narrow range. The filing also includes separate information on the American Express Credit Account Master Trust, providing additional detail on its credit performance and noting that these securitized loans may have different characteristics compared to the total portfolios.

Key Highlights

1Preliminary credit performance data for U.S. Consumer and U.S. Small Business card member lending portfolios for July, August, and September 2018.
2Total U.S. Consumer Card Member loans grew slightly from $55.3 billion in July to $56.2 billion by September 30, 2018.
3U.S. Consumer Card Member loans showed a 30-day past due rate of 1.4% as of September 30, 2018, consistent with the prior two months.
4Net write-off rate for U.S. Consumer Card Member loans decreased from 2.2% in August and July to 2.0% as of September 30, 2018.
5Total U.S. Small Business Card Member loans increased from $11.6 billion in July to $11.9 billion by September 30, 2018.
6Net write-off rate for U.S. Small Business Card Member loans decreased from 2.0% in July to 1.5% as of September 30, 2018, showing an improving trend.
7The filing includes separate credit performance statistics for the American Express Credit Account Master Trust, which may differ from the overall portfolio due to securitization.

AMERICAN EXPRESS CO 8-K Report, Regulation FD Disclosure (Oct 15, 2018)

Summary

Key Highlights

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