Summary
This 8-K filing from American Express (AXP) provides an update on credit performance metrics for its U.S. Consumer and U.S. Small Business Card Member lending portfolios as of April 30, 2022, and for the preceding two months. The report focuses on delinquency and write-off rates, offering a granular look at the health of Amex's loan book beyond securitized assets. Investors can use this data to assess credit risk trends in the current economic environment. Overall, the reported delinquency and write-off rates remain at very low levels, indicating robust credit quality within the U.S. Consumer and Small Business segments. Total U.S. Consumer Card Member loans grew to $60.5 billion, with 30-day delinquencies holding steady at 0.7% and a net write-off rate of 0.9%. For U.S. Small Business Card Member loans, total loans reached $18.6 billion, with 30-day delinquencies at 0.5% and a net write-off rate of 0.6%. The filing also provides comparative data for the American Express Credit Account Master Trust, which generally reflects similar stable credit performance.
Key Highlights
- 1U.S. Consumer Card Member loans increased to $60.5 billion in April 2022, up from $59.1 billion in March and $56.8 billion in February.
- 230-day delinquency rate for U.S. Consumer loans remained low, at 0.7% as of April 30, 2022, consistent with previous months.
- 3Net write-off rate for U.S. Consumer loans was 0.9% in April 2022, showing stability.
- 4U.S. Small Business Card Member loans grew to $18.6 billion in April 2022, up from $18.1 billion in March.
- 530-day delinquency rate for U.S. Small Business loans was 0.5% as of April 30, 2022, indicating strong credit quality.
- 6Net write-off rate for U.S. Small Business loans was 0.6% in April 2022, consistent with prior periods.
- 7The filing provides supplementary data on the American Express Credit Account Master Trust, showing stable annualized default rates and low delinquency figures.