Trump’s 10% credit card rate cap push stalls after deadline

U.S. President Donald Trump earlier this month urged lawmakers to impose a temporary ceiling on credit card interest rates, saying the measure should take effect on Jan. 20. As of this week, no federal legislation or executive order has introduced such a cap, and major card issuers have not announced voluntary reductions.

Speaking on Wednesday at the World Economic Forum in Switzerland, Trump renewed his appeal to Congress, arguing that current borrowing costs are excessively high. He pointed to interest rates that often exceed 28% and questioned whether such levels align with traditional limits on lending practices.

According to the Federal Reserve, the average annual percentage rate across all credit card accounts stood at 21.39% in the third quarter of 2025, the latest data available. Trump’s proposal would represent a sharp reduction from current market levels, even if applied temporarily.

A bipartisan bill introduced in the U.S. Senate last year sought to cap credit card rates at 10% for five years, but it has not advanced. Analysts note that even if Congress were to approve a similar measure, it could face legal challenges that might delay implementation.

Critics of an interest rate cap, including JPMorgan Chase CEO Jamie Dimon, warn that limiting rates could reduce access to credit, particularly for borrowers with weaker credit histories. Supporters counter that high interest charges place an unfair burden on consumers, a view echoed by one of the bill’s sponsors, Senator Josh Hawley.

For now, Trump’s proposal remains a policy idea rather than a binding rule, with its future dependent on congressional action and potential court scrutiny.

Earlier, Qazinform News Agency reported on Donald Trump’s call to cap credit card interest rates by January 20.