American cheese is just fine, as long as it's American CHEESE. IIRC there's cheese, which is, notably, cheese... cheese product, which is lightly abused real cheese (formed and molded, for example), cheese food product, which is cheese with additives and abused ( velveeta, as I recall)....
..... and then processed cheese food product, which is most pre-wrapped singles, and some may have come as close as 8' to actual milk, passing a tanker of it on the highway.
Trouble is, cheese doesn't usually melt well. The blend in American lends itself to melting w/o the fats bleeding off like cheddar does... heat a slice of real cheddar slowly, you'll watch it "sweat" milk fat and turn into a rubbery lump before it actually melts.