Overview
- Treasury Secretary Scott Bessent said it is reasonable to scrutinize credit card practices and pointed to deregulation that he says has expanded banks’ lending capacity.
- U.S. bank stocks fell as investors waited for clarity on the White House’s Jan. 20 target, with shares of major lenders declining in morning trading.
- Fact-checks and legal scholars note there is no federal 10% cap on the books and say a unilateral move would likely face court challenges.
- Banks and trade groups warn a cap would curb credit access; U.S. Bancorp’s CEO said most clients would be hurt and called the potential impact on half of them “crushing.”
- The administration is exploring voluntary options such as lower-rate products or “Trump cards,” as industry talks continue and prior regulator briefs opposing Colorado’s state rate-cap underscore policy tensions.