[an error occurred while processing this directive]
BBC News
watch One-Minute World News
Last Updated: Monday, 23 July 2007, 23:44 GMT 00:44 UK
Rising credit card use buoys Amex
American Express card
American Express is putting more aside to counter defaults on loans
American Express has seen its quarterly profits climb, following a strong rise in credit card use, especially by international cardholders.

The US credit card and travel services firm saw profits for the three months to June reach $1.057bn (513.3m), from $945m in the same period last year.

The results - which beat forecasts - were also helped by a $65m tax break.

The rise in credit card use comes as several banks have seen a rise in defaults on credit card loans.

Last week both JP Morgan Chase and Capital One Financial said their level of write-offs from bad debt had increased in the quarter compared to last year.

Like other firms in the sector, American Express has decided to increase the amount of money it will set aside for defaults on loans.


SEE ALSO
Bono bets on Red to battle Aids
26 Jan 06 |  Business
Amex to sell Brazilian card unit
20 Mar 06 |  Business
Amex buoyed by card spending rise
27 Apr 05 |  Business

RELATED INTERNET LINKS
The BBC is not responsible for the content of external internet sites



FEATURES, VIEWS, ANALYSIS
Has China's housing bubble burst?
How the world's oldest clove tree defied an empire
Why Royal Ballet principal Sergei Polunin quit

PRODUCTS & SERVICES

Americas Africa Europe Middle East South Asia Asia Pacific