8-K: Amex Card Delinquency & Write-Offs Stable in Q3 2026

American Express reports stable U.S. Consumer and Small Business card delinquency and write-off rates for the three months ended September 30, 2026.

Summary

• American Express Company (AXP) has filed a Form 8-K disclosing delinquency and write-off statistics for its U.S. Consumer and U.S. Small Business Card balances held for investment.
• The data covers the months of July, August, and September 2026, as well as the three-month period ending September 30, 2026.
• Total U.S. Consumer and U.S. Small Business Card balances held for investment were $160.9 billion as of September 30, 2026.
• The 30-day past due rate for U.S. Consumer Card balances was 1.2% as of September 30, 2026.
• The net write-off rate for U.S. Consumer Card principal only was 1.5% for the three months ended September 30, 2026.
• The 30-day past due rate for U.S. Small Business Card balances was 1.4% as of September 30, 2026.
• The net write-off rate for U.S. Small Business Card principal only was 2.3% for the three months ended September 30, 2026.
• Data for the American Express Credit Account Master Trust shows an annualized default rate, net of recoveries, of 1.0% for September 2026.

Sentiment

Score: 6

Explanation: StockSavvy.ai views this as a neutral to slightly positive filing, as delinquency and write-off rates remain stable and within expected ranges, despite the overall economic climate.

Positives

• Delinquency rates for U.S. Consumer (1.2%) and U.S. Small Business (1.4%) cards remained stable as of September 30, 2026.
• Net write-off rates for U.S. Consumer (1.5%) and U.S. Small Business (2.3%) principal only for the three months ended September 30, 2026, show a slight decrease or stabilization compared to previous periods.
• The American Express Credit Account Master Trust reported a stable annualized default rate of 1.0% for September 2026.

Negatives

• While stable, the net write-off rate for U.S. Small Business Card principal only was 2.3% for the three months ended September 30, 2026, which is higher than the U.S. Consumer rate.
• The filing notes that statistics presented are preliminary and subject to variability due to various factors.

Risks

• Potential variability in credit performance statistics due to factors like the number of days in a month, holidays, seasonality, and timing of third-party information.
• Differences in calculation methodologies between the U.S. Consumer and Small Business Card balance portfolios and the Lending Trust may impact month-to-month comparisons.
• The filing does not include balances classified as held for sale, which could represent a different risk profile.

Future Outlook

The filing does not contain specific forward-looking statements or guidance regarding future financial performance. It focuses on historical delinquency and write-off statistics.

Industry Context

StockSavvy.ai notes that stable delinquency and write-off rates for a major credit card issuer like American Express in the current economic environment are generally viewed positively. This suggests resilience in consumer and small business credit quality, which is a key indicator for the financial services sector.

Comparison to Industry Standards

• The reported 30-day delinquency rates for U.S. Consumer (1.2%) and U.S. Small Business (1.4%) cards are generally considered low within the credit card industry, especially when compared to broader consumer credit benchmarks.
• Net write-off rates of 1.5% (Consumer) and 2.3% (Small Business) for the quarter are also within a manageable range for a large credit issuer, though specific industry-wide averages can fluctuate based on economic conditions and reporting methodologies.
• Competitors such as Visa and Mastercard, while primarily payment networks, also have exposure to credit risk through their lending partners. Their performance in managing credit risk within their ecosystems would be a relevant comparison, though direct metrics are often not publicly disclosed in this format.
• Other large banks with significant credit card portfolios, such as JPMorgan Chase and Bank of America, report similar credit quality metrics in their quarterly earnings, and American Express's figures appear to be in line with or slightly better than some of these peers, particularly in terms of delinquency.

Stakeholder Impact

• Shareholders: Stable credit metrics suggest continued operational stability and predictable earnings, which is generally positive for investor confidence.
• Creditors: Low delinquency and write-off rates indicate a lower risk of default on outstanding balances, which is favorable for the company's creditors.
• Customers: The company's ability to manage credit risk effectively allows it to continue offering credit products, though stringent underwriting may impact access for some.

Next Steps

• Continue to monitor U.S. Consumer and U.S. Small Business Card delinquency and write-off rates in subsequent filings.
• Observe trends in the American Express Credit Account Master Trust's default rates.

Key Dates

Recommendation

The filing presents stable, expected credit performance metrics for American Express's U.S. card portfolios. While not indicating significant growth or improvement, the absence of negative surprises suggests the company is managing its credit risk effectively. This warrants a 'hold' recommendation, as the current performance is in line with expectations and does not provide a strong catalyst for a buy or sell decision.

Keywords

delinquency rates, write-off rates, credit performance, card balances, consumer credit, small business credit, loan portfolio, securitization