“We inform you that we will no longer allow the American public to be ‘scammed’ by credit card companies that charge interest rates of 20 to 30%, and even higher, which were compounded without hindrance during the administration of sleepy Joe Biden. AFFORDABILITY!” Trump wrote on Truth Social, on Friday.
“Beginning January 20, 2026, as President of the United States, I am calling for a 10% annual cap on credit card interest rates,” he announced.
The date of January 20 coincides with the first anniversary of his administration, the president recalled.
The measure is part of his campaign promises. This was claimed days before by independent senator Barnie Sanders, who reminded him that he had not fulfilled this commitment to the American electorate. In addition, Sanders and Josh Hawley presented a bipartisan bill in February 2025 to limit card interest rates to precisely 10%, but for a period of five years. The initiative did not advance in Congress until President Trump announced his request.
Currently, average rates for credit cards are around 21.47%, according to data from the Federal Reserve.
Reactions from the banks
So far, the main credit card issuing banks have not issued any official position. However, some banking groups, such as the Consumer Bankers Association, said in a joint statement that the 10% limit would “reduce the availability of credit” and “only drive consumers towards less regulated and more expensive alternatives.”
For his part, billionaire Bill Ackman noted in X that President Trump’s request was a “mistake,” although he later deleted his post.
The move would apparently be contradictory to Trump’s actions on the matter. Last year, the president decided to eliminate a rule to limit late payment charges on credit cards to $8.
Republican Senator Josh Hawley, the same one who made the joint proposal with Sanders, expressed in X: “Fantastic idea. I can’t wait to vote for this!”, after Donald Trump’s announcement.
The second administration of the Republican president is experiencing one of its worst moments in approval by the American voter. Despite having results in the fentanyl crisis and immigration matters, discontent comes mainly from the economic expectations of households.
At the end of the third quarter, the delinquency rate in the United States stood at 2.98%, which remains at levels not seen since 2011, but is lower than the peak reached in 2024, of 3.22%.
On the other hand, through October 2025, the proportion of Americans with at least 60 days behind on their auto loans increased to 6.65%, the highest level since 1994, according to Fitch Ratings.
