President Donald Trump announced Friday that it is calling for a one-year cap limiting credit card interest rates to 10%.
Trump blamed the Biden administration for letting rates rise to 20 to 30 percent, adding that Americans were being “ripped off” by credit card companies.
“Please be advised that we will no longer allow the American public to be ‘ripped off’ by credit card companies charging interest rates of 20-30% and even higher, which have festered unhindered under the sleepy Joe Biden administration,” Trump wrote. Social truth.
“AFFORDABILITY! Beginning January 20, 2026, as President of the United States, I am calling for a one-year cap on credit card interest rates of 10%.”
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President Donald Trump announced Friday that he is calling for a one-year cap on credit card interest rates. (iStock; Anna Moneymaker/Getty Images/Fox News)
Trump noted that the cap would coincide with the one-year anniversary of his return to the White House.
The senator Bernie SandersI-Vt., introduced a bill in February 2025 that would cap credit card interest rates at 10 percent, but the changes would end Jan. 1, 2031, nine years longer than the proposal Trump introduced.
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President Donald Trump announced Friday that he would seek to limit credit card interest rates by capping them at one year. (Jabin Botsford/The Washington Post via Getty Images / Getty Images)
Earlier Friday, before Trump announced his plan, Sanders denounced Trump for not capping credit card interest rates.
“Trump promised to cap credit card interest rates at 10% and stop Wall Street from committing murder with impunity,” Sanders wrote in an X post. “Instead, he deregulated big banks by charging up to 30% interest on credit cards. The result? Last year, JPMorgan CEO Jamie Dimon made $770 million. Unacceptable.”
President Donald Trump has called for a one-year cap on credit card interest rates, blaming the high costs on the Biden administration. (Brent Lewin/Bloomberg via Getty Images/Getty Images)
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The senator Elizabeth WarrenD-Mass., the top Democrat on the Banking, Housing and Urban Affairs Committee, responded to Trump’s proposal, calling it a “joke.”
“Begging credit card companies to play nice is a joke,” Warren said in a statement. “I said a year ago that if Trump was serious, I would work to pass a bill to cap rates. Since then, he has done nothing but try to shut down the CFPB.”
Warren accused Trump of not caring about affordability, adding that “Americans know fraud when they see it.”
Billionaire hedge fund manager Bill Ackman reacted to Trump’s announcement, calling the president’s proposal a “mistake.”
“Without being able to charge rates adequate enough to cover losses and earn an adequate return on equity, credit card lenders will cancel the cards of millions of consumers who will have to turn to loan sharks for credit at higher rates and lower terms than they were previously paying,” he wrote on X.
Sen. Josh Hawley, R-Mo., quickly expressed support for the proposal on X, saying he “can’t wait to vote for it.”
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The White House and Sanders’ office did not immediately respond to FOX Business’ request for comment.
