Trump Proposes 10% Cap on Credit Card Interest Rates for One Year

On January 10, 2023, former President Donald Trump announced via social media his intention to impose a one-year limit on credit card interest rates, setting the cap at 10% starting January 20, 2026. Trump stated that Americans are being 'ripped off' by credit card companies; however, he did not elaborate on how this proposal would be enforced or how compliance would be achieved. His remarks come amidst rising bipartisan concern regarding high-interest rates, with lawmakers from both sides pushing for reform. Critics, including Democratic Senator Elizabeth Warren, underscored the absence of a concrete legislative proposal, calling Trump's announcement ineffective without a supporting bill. Additionally, some banking industry advocates warned that a 10% cap could limit credit accessibility and drive consumers toward riskier alternatives. While bipartisan efforts to legislate such a cap have been previously introduced, including by Senators Bernie Sanders and Josh Hawley, Trump's proposal remains largely unconfirmed and met with skepticism from both sides of the aisle.