President Trump proposes a one-year cap on credit card interest rates at 10% starting Jan. 20 to address concerns about high costs. It remains unclear if credit card companies will comply or what actions will be taken to enforce the change. During his 2024 campaign, Trump promised to limit interest rates charged by credit card companies. Senator Bernie Sanders criticizes Trump for deregulating big banks, allowing them to charge up to 30% interest on credit cards. Banking trade groups warn that capping interest rates at 10% could lead consumers to turn to riskier financial options like loan sharks or unregulated online lenders. The Bank Policy Institute states that while the proposed cap aims to reduce high household debt, it may limit consumers’ access to credit and lead to reduced cardholder benefits. Senator Josh Hawley supports Trump’s proposal and looks forward to voting for it.

Read more at Yahoo Finance: Trump Calls for One-Year Cap on Credit Card Rates at 10%