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White House Pivots to Voluntary ‘Trump Cards’ as Credit-Card Rate Cap Stalls

The move seeks issuer buy-in after bank leaders warned a mandated limit would curb credit.

Overview

  • President Trump’s call for a one-year 10% ceiling on card interest, slated for Jan. 20, still lacks a viable legislative path.
  • NEC Director Kevin Hassett said banks could introduce low-rate products voluntarily, though a major issuer and a lobbyist said they have not discussed such a plan with the White House.
  • Executives at Citigroup, JPMorgan Chase, and Bank of America said a fixed limit would prompt tighter underwriting, smaller lines, and fewer rewards.
  • Supporters cite research estimating roughly $100 billion in annual consumer savings, while the Electronic Payments Coalition warns up to 88% of open accounts could lose access under a strict cap.
  • The OCC and FDIC recently filed briefs opposing Colorado’s rate-limiting law, underscoring a split between the administration’s rhetoric and its regulators’ legal stance.