Card Member Receivables and Loans

3 Months Ended

Mar. 31, 2018

Card Member Receivables and Loans [Abstract]

2. Card Member Receivables and Loans

American Express’ charge and lending payment card products result in the generation of Card Member receivables and Card Member loans, respectively.

Card Member receivables as of March 31, 2018 and December 31, 2017 consisted of:

(Millions)		2018		2017
U.S. Consumer Services	$	5,958	$	3,557
International Consumer and Network Services^(a)		2,380		1,827
Global Commercial Services^(b)		16,526		14,892
Card Member receivables^(c)		24,864		20,276
Less: Reserve for losses		179		145
Card Member receivables, net^(d)	$	24,685	$	20,131

Comprised of International consumer card business.
Comprised of Corporate and Small Business Services.
Net of deferred discount revenue totaling $65 million and $43 million as of March 31, 2018 and December 31, 2017, respectively.
Card Member receivables modified in a troubled debt restructuring (TDR) program were immaterial.

Card Member loans as of March 31, 2018 and December 31, 2017 consisted of:

(Millions)		2018		2017
International Consumer and Network Services^(a)	$	564	$	561
Less: Reserve for losses		6		5
Card Member loans, net^(b)	$	558	$	556

Comprised of International consumer card business.
Card Member loans modified in a TDR program were immaterial.

Card Member Receivables and Loans Aging

Generally, a Card Member account is considered past due if payment is not received within 30 days after the billing statement date. The following table presents the aging of Card Member receivables and Card Member loans as of March 31, 2018 and December 31, 2017:

					30-59		60-89
					Days		Days		90+ Days
2018(Millions)			Current		Past Due		Past Due		Past Due		Total
Card Member Receivables:
	U.S. Consumer Services	$	5,908	$	18	$	11	$	21	$	5,958
	International Consumer and Network Services		2,347		12		6		15		2,380
	Global Commercial Services
	Global Small Business Services		1,895		10		5		10		1,920
	Global Corporate Payments^(a)		(b)		(b)		(b)		125		14,606
Card Member Loans:
	International Consumer and Network Services	$	559	$	2	$	1	$	2	$	564

					30-59		60-89
					Days		Days		90+ Days
2017(Millions)			Current		Past Due		Past Due		Past Due		Total
Card Member Receivables:
	U.S. Consumer Services	$	3,531	$	10	$	6	$	10	$	3,557
	International Consumer and Network Services		1,805		8		5		9		1,827
	Global Commercial Services
	Global Small Business Services		1,397		5		4		6		1,412
	Global Corporate Payments^(a)		(b)		(b)		(b)		112		13,480
Card Member Loans:
	International Consumer and Network Services	$	557	$	1	$	1	$	2	$	561

For Global Corporate Payments Card Member receivables in Global Commercial Services, delinquency data is tracked based on days past billing status rather than days past due. A Card Member account is considered 90 days past billing if payment has not been received within 90 days of the Card Member’s billing statement date. In addition, if collection procedures are initiated on an account prior to the account becoming 90 days past billing, the associated Card Member receivable balance is classified as 90 days past billing. These amounts are shown above as 90+ Days Past Due for presentation purposes. See also (b).
Delinquency data for periods other than 90 days past billing is not available due to system constraints. Therefore, such data has not been utilized for risk management purposes. The balances that are current to 89 days past due can be derived as the difference between the Total and the 90+ Days Past Due balances.

Credit Quality Indicators for Card Member Receivables and Loans

The following tables present the key credit quality indicators as of or for the three months ended March 31:

		2018				2017
				30+ Days				30+ Days
		Net		Past Due		Net		Past Due
		Write-off		as a % of		Write-off		as a % of
		Rate	^(a)	Total		Rate	^(a)	Total
Card Member Receivables:
	U.S. Consumer Services	1.11	%	0.84	%	0.57	%	0.78	%
	International Consumer and Network Services	1.60	%	1.39	%	1.82	%	1.22	%
	Global Small Business Services	1.42	%	1.30	%	0.88	%	1.18	%
Card Member Loans:
	International Consumer and Network Services	1.40	%	0.89	%	0.84	%	0.87	%

		2018				2017
		Net Loss		90+ Days		Net Loss		90+ Days
		Ratio as a		Past		Ratio as a		Past
		% of		Billing		% of		Billing
		Charge		as a % of		Charge		as a % of
		Volume	^(b)	Receivables		Volume	^(b)	Receivables
Card Member Receivables:
	Global Corporate Payments	0.07	%	0.86	%	0.08	%	0.74	%

Represents the amount of Card Member receivables or Card Member loans owned by Credco that are written off, net of recoveries, expressed as a percentage of the average Card Member receivables or Card Member loans balances in each of the periods indicated.
Represents the amount of Card Member receivables owned by Credco that are written off, net of recoveries, expressed as a percentage of the volume of Card Member receivables purchased by Credco in each of the periods indicated.