American Express Sees Modest Delinquency and Write-Off Rate Increases

American Express released its delinquency and write-off statistics for August, showing modest increases in both areas. The credit card giant reported a 30-day delinquency rate of 1.1% for U.S. Consumer Card balances held for investment as of August 31, unchanged from the prior two months.

The net write-off rate for principal only was 1.7% in both August and July, up from 1.4% in June. This uptick in write-offs is notable, but American Express' strong financial position remains intact with a return on equity of 34% and current ratio of 1.55.

The company also reported data for its U.S. Small Business Card balances, which totaled $46.1 billion in both August and July. The 30-day delinquency rate was 1.3% in August and July, while the net write-off rate for principal only stood at 2.2% in August, 2.6% in July, and 2.3% in June.