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

U.S. President Donald Trump said on Friday that he supports imposing a one-year cap of 10% on credit card interest rates, arguing that American consumers have been “ripped off” by credit card companies. The proposed cap would take effect from January 20, though Trump did not provide details on how the policy would be implemented or enforced.

The call was made in a post on social media and echoed a pledge Trump made during his successful 2024 presidential campaign. However, no formal plan or legislative framework was outlined.

Questions Over Implementation

Analysts and lawmakers have raised questions about the feasibility of the proposal, noting that any cap on credit card interest rates would require congressional approval. Without legislation, the executive branch has limited authority to impose such restrictions on private financial institutions.

A Democratic lawmaker criticized the announcement, calling the proposal symbolic without a supporting bill, and said meaningful action would require bipartisan cooperation in Congress.

Bipartisan Concerns on Credit Card Rates

Concerns over high credit card interest rates have drawn attention from lawmakers in both parties, as borrowing costs for consumers remain elevated amid higher interest rates. Average credit card rates in the U.S. are currently near record levels, adding pressure to household finances.

Market and Policy Implications

While Trump’s comments highlight growing political focus on consumer debt, markets are unlikely to react until clear legislative steps emerge. Investors and financial institutions will closely monitor whether any formal proposal is introduced in Congress and how it could impact the banking and payments sectors.