American Express reports 2% net write-off rate for US small business card member loans at August end
Summary
American Express reported a net write-off rate of 2.2% for principal only loans to U.S. small business card members at the end of August. This metric is part of the company's broader efforts to provide transparency on the health of its business lending activities, particularly as card-based loans serve as a crucial financing option for small businesses seeking flexible access to capital.
Analysis
American Express: American Express is a global financial services company offering credit cards, payment solutions, and lending products tailored to consumers and businesses. It operates a dedicated portfolio of small business card member loans in the U.S. The disclosed net write-off rate reflects credit performance trends within this specific lending segment. Small Business Lending: Card-based loans remain a key financing option for U.S. small businesses seeking flexible access to capital. Credit Quality Reporting: Financial institutions like American Express routinely disclose write-off metrics to provide transparency on the health of their business lending activities.
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