From CBS News: President Trump is calling for a 10% cap on credit card interest rates for one year, an idea that has drawn strong support from lawmakers in both parties but pushback from card issuers.
Mr. Trump said the cap on interest rates should begin on Jan. 20, 2026, or the one-year anniversary of his second inauguration.
Credit card interest rates currently average over 20%, according to Federal Reserve statistics, so a 10% cap would represent a significant cut in borrowing costs.
Please be informed that we will no longer let the American Public be “ripped off” by Credit Card Companies that are charging Interest Rates of 20 to 30%, and even more, which festered unimpeded during the Sleepy Joe Biden Administration. AFFORDABILITY! Effective January 20, 2026, I, as President of the United States, am calling for a one year cap on Credit Card Interest Rates of 10%. Coincidentally, the January 20th date will coincide with the one year anniversary of the historic and very successful Trump Administration. Thank you for your attention to this matter. MAKE AMERICA GREAT AGAIN! PRESIDENT DONALD J. TRUMP
Trump did not say whether he intends to enforce his proposed 10% interest rate cap through executive action or if his objective is to compel credit card issuers to voluntarily reduce their interest rates.
Americans owe a record $1.23 trillion in credit card debt, prompting calls for lower interest rates to alleviate financial burden.
Opponents of a 10% interest rate cap on credit cards, including banks, warn it could reduce credit availability and harm consumers who rely on credit cards.
CBS received a statement from a coalition of groups that represent banks, including the American Bankers Association and the Bank Policy Institute. The coalition claims that a 10% interest rate cap “would reduce credit availability and be devastating for millions of American families and small business owners who rely on and value their credit cards, the very consumers this proposal intends to help.”
HUGE: President Donald J. Trump announces a one year cap on Credit Card Interest Rates of 10% effective January 20, 2026. 💸 pic.twitter.com/WKJ4Fk4SnC
— The White House (@WhiteHouse) January 10, 2026
Read more at CBS News
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