Summary
American Express Company (AXP) filed an 8-K on December 14, 2021, to provide updated statistics on its U.S. Consumer and U.S. Small Business Card Member lending portfolios for the months ending September 30, October 31, and November 30, 2021. The report details delinquency and write-off rates, offering investors a glimpse into the credit quality of the company's loan book. This information is presented in addition to data provided in the American Express Credit Account Master Trust's (Lending Trust) monthly Form 10-D filings. The provided data indicates stable credit performance across both the U.S. Consumer and U.S. Small Business portfolios during the three-month period. Delinquency rates remained consistent, and net write-off rates showed only minor fluctuations, generally remaining at or below 0.6%. The total loan balances for both segments showed a steady increase, reflecting continued business growth. Investors can use this data to monitor credit risk trends within American Express's core lending operations.
Key Highlights
- 1Provides updated delinquency and write-off statistics for U.S. Consumer and U.S. Small Business Card Member lending portfolios for September, October, and November 2021.
- 2U.S. Consumer Card Member loans saw total loan balances increase from $52.6 billion (Sept 30) to $57.1 billion (Nov 30).
- 3U.S. Small Business Card Member loans also experienced growth, with total loan balances rising from $14.8 billion (Sept 30) to $16.2 billion (Nov 30).
- 430 days past due rates remained stable at 0.7% for U.S. Consumer and 0.5% for U.S. Small Business Card Member loans throughout the period.
- 5Net write-off rates for U.S. Consumer loans fluctuated between 0.4% and 0.6%.
- 6Net write-off rates for U.S. Small Business loans remained stable at 0.4% or 0.5%.
- 7Presents separate credit performance data for the American Express Credit Account Master Trust (Lending Trust), showing a stable annualized default rate, net of recoveries, at 0.4% or 0.5%.