Overview
- President Trump announced on Truth Social a one-year cap of 10% on credit-card interest rates, asserting a January 20, 2026 start, though no law or rule has been enacted.
- Executives from JPMorgan Chase, Citigroup, Wells Fargo and Bank of America warned the cap would restrict credit and could slow growth, with Citi’s Mark Mason and JPMorgan’s Jeremy Barnum calling it harmful for consumers and the economy.
- Industry groups including the Bank Policy Institute and the Consumer Bankers Association called a strict 10% ceiling “devastating,” and banks cautioned that card limits, rewards and available lines would likely be reduced.
- A Vanderbilt analysis estimates roughly $100 billion in annual consumer savings under a 10% cap but warns lower-income and poor-credit borrowers would likely lose access to credit, with smaller caps such as 15–18% modeled as less exclusionary.
- Experts question the legal authority for a nationwide cap and note Congress may need to act, while average card APRs remain near the mid-20% range and the Federal Reserve is not expected to cut rates soon, complicating implementation.