Trump Demands 10% Cap on Credit Card Rates by 2026, Sparking Market Turmoil
President Donald TRUMP has unilaterally declared that credit card interest rates must not exceed 10% starting January 20, 2026, warning companies that violations would breach the law. The announcement sent shockwaves through financial markets, with shares of major banks and credit card issuers tumbling in premarket trading.
The policy lacks legislative scaffolding, drawing immediate pushback from lawmakers who noted such a cap WOULD require congressional approval. Banking associations argue the move could restrict credit access for households and small businesses, potentially destabilizing segments of the consumer economy.
Trump framed the edict as consumer protection, stating on Truth Social: "We will no longer let the American Public be 'ripped off' by Credit Card Companies." Market reactions suggest investors view the proposal as either unenforceable political theater or a harbinger of aggressive financial regulation.
