President Trump attacked not only Fed Chair Powell in recent months, but over the weekend, he took verbal aim at credit card companies. The POTUS floated the idea of capping credit card interest rates at 10% , which, if made law, would significantlyFreelance Financial Writer | Investments | Markets | Personal Finance | RetirementI create written content used in various formats including articles, blogs, emails, and social media for financial advisors and investment firms in a cost-efficient way. My passion ...

Key Takeaways Bank stocks fell Monday after President Donald Trump said over the weekend that credit card interest rates should be capped at 10% for at least a year.How a cap would be put in place and why for only a year remains unclear. A number of banking and financial stocks slumped Monday morning after President Donald Trump over the weekend suggested capping credit card interest rates. Trump posted on social media late Friday that Americans are being "ripped off" by interest rates of 20% to 30%, a ...

President Donald Trump has threatened to impose a 10% cap on credit card interest rates for one year, effective Jan. 20, arguing that Americans are being “ripped off” by rates often exceeding 20% to 30%. This proposal aims to provide relief amid high consumer debt levels but faces substantial skepticism. Enacting such a cap would likely require congressional approval, as executive orders alone may not suffice, and industry pushback could lead to legal challenges from banks reliant on interest income. Des ...

President Donald Trump says credit-card lenders would break the law if they don't cap interest rates at 10% for one year. Bloomberg's Paige Smith reports. ...

Capital One stock (NYSE: COF) tumbled nearly 10% in pre-market trading on Monday after President Donald Trump called for a one-year cap on credit card interest rates at 10%. The proposal sent shock wa... ...

Core Viewpoint - President Trump's proposal to cap credit card interest rates at 10% has garnered attention but faces significant legislative hurdles and low chances of passing [1][3]. Group 1: Proposal Details - The proposed cap would be effective for one year starting January 20, but lacks details on implementation and compliance mechanisms [2]. - The average credit card interest rate in the U.S. is currently approximately 19.65% [4]. Group 2: Industry Impact - High credit card interest rates contribute significantly to the profitability of banks and card issuers, making the proposed cap a potential threat to their revenue streams [1]. - Analysts believe that any rate cap would need to be enacted by Congress rather than through executive action, indicating a low probability of legislative success [3][5]. Group 3: Political Context - Affordability of credit has become a key political issue as voters focus on the costs of everyday necessities ahead of the U.S. mid-term elections [4]. - Lower-income households are more likely to carry credit card balances and face higher interest rates, highlighting the socio-economic implications of the proposed cap [4].

This story was originally published on Payments Dive. To receive daily news and insights, subscribe to our free daily Payments Dive newsletter. President Donald Trump called for a 10% cap on credit card interest rates for a year, starting Jan. 20, but trade groups for banks that issue the cards distanced themselves from the idea. Late on Friday, Trump issued a statement on the Truth Social social media platform calling for the cap, pointing to a need for affordability for American consumers. He took a swi ...

Shares in British bank Barclays fell on Monday after U.S. President Trump called on Friday for a cap on credit card interest rates at 10%. ...

President Donald Trump has escalated his war on high interest rates, warning credit card companies that failure to cap rates at 10% by Jan. 20 will be treated as a “violation of the law” and met with “severe” repercussions.Escalation To Legal ThreatsIn a forceful new statement delivered on Jan. 12, 2026, President Trump shifted from political pressure to explicit legal threats against the banking sector.Moving beyond his initial call for a voluntary cap in a Truth Social post, Trump declared that maintainin ...

Core Viewpoint - Bill Ackman criticized President Trump's proposal for a temporary 10% cap on credit card interest rates, labeling it a "mistake" that could result in millions of credit card cancellations [1][5]. Group 1: Ackman's Concerns - Ackman stated that without sufficient interest rates to cover losses and provide returns, credit card lenders would be forced to cancel cards for many consumers, pushing them towards predatory lending options [2]. - He emphasized that while the goal of reducing credit card interest rates is commendable, the specific cap proposed is problematic [3]. Group 2: Trump's Proposal - President Trump announced a plan to impose a one-year cap on credit card interest rates at 10%, targeting lenders that currently charge rates between 20% and 30% [2][5]. - The implementation of such a cap would likely require Congressional approval, and it remains uncertain how the President could enact this without legislative support [2]. Group 3: Market Dynamics - Ackman noted that the credit card market is highly competitive, suggesting that enhancing competition through regulatory changes could be a more effective way to lower interest rates [4].