How do the delinquency and write-off rates compare between U.S. Consumer and U.S. Small Business loans?

For the period ending July 31, 2025, U.S. Consumer loans had a 30-day delinquency rate of 1.3% and a net write-off rate of 2.0%. In contrast, U.S. Small Business loans had a slightly higher 30-day delinquency rate of 1.6% and a notably higher net write-off rate of 2.7%. This suggests a relatively higher credit risk in the small business portfolio compared to the consumer segment during this period.

What is the significance of the data from the American Express Credit Account Master Trust (Lending Trust)?

The Lending Trust data provides insights into a portion of American Express's securitized loan portfolio. While it may not perfectly mirror the overall loan portfolio due to differences in loan characteristics and calculation methodologies, its reported default rates (1.1% in July) and delinquency figures can offer a supplementary view on credit performance.

Are there any trends visible in the provided data?

For U.S. Consumer loans, the delinquency rate remained stable, and the write-off rate showed a slight downward trend in July. For U.S. Small Business loans, delinquency remained stable but write-off rates saw a slight increase over the reported period. The Lending Trust data shows a decrease in the annualized default rate in July.

AXP 8-K: Regulation FD — Aug 15, 2025

Q: What is the primary purpose of this 8-K filing?

This 8-K filing primarily serves to provide investors with updated delinquency and write-off statistics for American Express's U.S. Consumer and U.S. Small Business Card Member loans held for investment. This data supplements the information reported in the company's other filings and helps investors monitor credit quality.

Summary

American Express Company (AXP) has filed a Current Report (8-K) on August 15, 2025, providing updated delinquency and write-off statistics for its U.S. Consumer and U.S. Small Business Card Member loans held for investment for the months ending July 31, June 30, and May 31, 2025. These disclosures offer a snapshot of the company's credit portfolio performance, supplementing data reported by the American Express Credit Account Master Trust. Investors can use this information to assess the company's credit risk management and the health of its loan portfolio in a dynamic economic environment.

Key Highlights

1U.S. Consumer loans held for investment remained stable, with total loans around $93 billion across the three reported months.
2The 30-day delinquency rate for U.S. Consumer loans held for investment remained consistent at 1.3% for July and June, with a slight increase from 1.2% to 1.3% for May.
3The net write-off rate for U.S. Consumer loans held for investment showed a slight decline to 2.0% in July from 2.1% in June and May.
4U.S. Small Business loans held for investment saw total loans fluctuate, ending July at $30.5 billion, down from $32.0 billion in May.
5The 30-day delinquency rate for U.S. Small Business loans held for investment was stable at 1.6% for July and June, increasing slightly from 1.5% in May.
6The net write-off rate for U.S. Small Business loans held for investment increased slightly to 2.7% in July from 2.6% in June and 2.4% in May.
7The American Express Credit Account Master Trust reported an annualized default rate, net of recoveries, of 1.1% in July, down from 1.3% in June and May, with total 30+ days delinquent loans remaining consistent at $0.2 billion.

AMERICAN EXPRESS CO 8-K Report, Regulation FD Disclosure (Aug 15, 2025)

Summary

Key Highlights

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