Jan 26 (Reuters) - American Express missed estimates for fourth-quarter profit on Friday as the credit card giant braced for a jump in potential loan defaults, underscoring the hit to customers' financial health from elevated interest rates.

Eleven rate hikes by the U.S. Federal Reserve have made borrowing expensive and increased risks of more defaults, especially as credit card debt is typically costlier than other loans.

Lenders are responding by increasing their provisions for such potential defaults. The default risk could also remain elevated in the near future, as some of the Fed's officials have warned that interest rates will need to stay higher for longer.

AmEx raised its loan loss provisions for the fourth quarter to $1.44 billion, compared with $1.03 billion a year earlier.

The company posted a profit of $2.62 per share for the three months ended Dec. 31, up from $2.07 per share.

However, analysts had expected a profit of $2.64 per share, according to LSEG data.

The results come a day after peer Visa Inc posted upbeat quarterly results fueled by strong spending on travel and holiday shopping. However, smaller peers Discover Financial and Capital One saw lower profits in the quarter due to higher credit loss provisions. (Reporting by Sri Hari N S and Niket Nishant in Bengaluru; Editing by Shounak Dasgupta)