President Trump announced Friday that he is pressing credit card issuers to limit interest charges to 10% for a one-year period starting later this month.

In a post on Truth Social, Trump blasted current rates and said action is needed to protect consumers. “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!,” he wrote.

Trump said the proposed cap would begin soon. “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%,” he stated. “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.”

The idea of imposing a ceiling on credit card interest is not new for Trump. He previously raised the proposal while campaigning, arguing that families needed relief as they struggled with rising costs.

“While working Americans catch up, we’re going to put a temporary cap on credit card interest rates,” Trump said during a campaign stop at Nassau Coliseum in September 2024.

Banking industry groups pushed back at the time, warning that government-mandated limits could lead lenders to restrict credit access only to borrowers with high incomes and top-tier credit scores.

Trump’s pledge followed a sharp rise in borrowing costs, with average credit card interest rates hitting a record 21.76% in August 2024. Since Trump returned to office, those rates have edged lower, falling to just under 21% — about 20.97% — as of last November.

After Trump first raised the proposal, Sens. Josh Hawley of Missouri and Bernie Sanders of Vermont introduced legislation shortly after Trump’s inauguration that would have imposed a 10% cap on credit card interest rates for five years. The measure was sent to committee and never advanced to a vote.

Reacting to Trump’s latest call, Hawley praised the move and suggested Congress may need to step in to force compliance by lenders. “Fantastic idea. Can’t wait to vote for this,” Hawley wrote on X Friday.

{Matzav.com}

Jooish News

Jooish News