Summary
This 8-K filing from American Express (AXP) provides an update on delinquency and write-off statistics for its U.S. Consumer and U.S. Small Business Card Member lending portfolios as of April 30, 2025, and for the months ending April 30, March 31, and February 28, 2025. The company also includes comparable credit performance data for the American Express Credit Account Master Trust. Investors should note that the provided statistics pertain to Card Member loans held for investment and exclude the Lowe's small business cobrand portfolio, which was reclassified to loans held for sale effective December 1, 2024. Overall, the reported delinquency and write-off rates appear stable and remain at levels that management likely considers manageable, reflecting a resilient credit environment for AXP's core portfolios.
Key Highlights
- 1U.S. Consumer and Small Business total card member loans held for investment stood at $122.3 billion as of April 30, 2025.
- 230-day past due rates for U.S. Consumer loans remained stable at 1.4% for all three reported months (Feb, Mar, Apr 2025).
- 330-day past due rates for U.S. Small Business loans remained stable at 1.6% for all three reported months (Feb, Mar, Apr 2025).
- 4Net write-off rates for U.S. Consumer loans showed a slight downward trend, decreasing from 2.5% in February to 2.0% in April.
- 5Net write-off rates for U.S. Small Business loans also showed a slight downward trend, decreasing from 2.6% in February to 2.4% in April.
- 6The American Express Credit Account Master Trust reported an annualized default rate, net of recoveries, of 1.3% for the period ending April 30, 2025, down from 1.8% in February.
- 7The filing clarifies that the Lowe's small business cobrand portfolio is no longer included in these delinquency and write-off statistics, as it was reclassified to 'held for sale' in December 2024.