Variable Interest Entity

6 Months Ended

Jun. 30, 2017

Variable Interest Entity [Abstract]

Variable Interest Entity

6.Variable Interest Entity

Credco has established a Variable Interest Entity (VIE), American Express Canada Credit Corporation (AECCC), used primarily to lend funds to affiliates, through the issuance of notes in Canada under a medium-term note program. All notes issued under this program are fully guaranteed by Credco. Credco is considered the primary beneficiary of the entity and owns all of the outstanding voting interests and, therefore, consolidates the entity. Total assets as of June 30, 2017 and December 31,2016 were $1.8 billion and $1.7 billion, respectively, the majority of which were eliminated in consolidation. Total liabilities as of both June 30, 2017 and December 31,2016 were $1.7 billion. As of both June 30, 2017 and December 31,2016, $1.3 billion of liabilities were eliminated in consolidation. The assets of the VIE are not used solely to settle the obligations of the VIE. The note holders of the VIE have recourse to Credco.