JPMorgan's CFO warns cutting credit card interest could make the business not worth being in

Core Viewpoint - JPMorgan Chase's CFO highlighted the potential negative impact of a proposed credit card interest rate cap on the bank's lending business, emphasizing that such a move could challenge the profitability of their credit card operations [1][4][7] Group 1: Impact of Proposed Rate Cap - The proposed 10% cap on credit card interest rates, suggested by President Trump, could significantly affect banks' profits and limit access to credit for consumers with lower credit scores [3][4][7] - CFO Jeremy Barnum indicated that a dramatic shift in interest rates could lead to adverse consequences for consumers, particularly those who rely heavily on credit [3][7] Group 2: Current Business Performance - JPMorgan's credit and debit card sales volume increased by 7% year-over-year, with card services sales reaching approximately $360 billion for the quarter [5] - Revenue in the consumer and community banking division rose 6% year-over-year to $19.4 billion, driven by higher net interest income from card services as revolving balances grew [5] Group 3: Strategic Developments - JPMorgan is in the process of taking over the Apple Card from Goldman Sachs, with the transition expected to take up to two years to complete [6]