US EditionJohnson warns 10 percent credit card interest rate cap could have unintended consequences
House Speaker Johnson says the 10% cap risks halting credit issuance and harming access, opposing Trump’s plan amid warnings from Senate leaders and experts.
- On Tuesday, House Speaker Mike Johnson publicly rejected President Donald Trump’s 10% credit card interest cap, warning of `unintended consequences` and signaling the House will not take up the bill.
- President Donald Trump proposed a temporary, 12-month freeze capping credit-card rates at 10%, tied to the January 20, 2026 anniversary, arguing banks are `ripping off` Americans with average rates near nearly 24%.
- Senate Majority Leader John Thune told reporters Tuesday the cap could `deprive an awful lot of people of access to credit`, while experts and the American Bankers Association warned issuers would stop lending.
- Johnson’s remarks stalled the proposal as House GOP leadership and the banking lobby opposed the cap, while some populist Republicans and the progressive left supported it.
- Populist Republicans echoed progressive critiques as Senator Josh Hawley backed Trump, calling the credit card system `exploitative` and highlighting struggles of working Americans.
26 Articles
26 Articles
House Republicans Were Blindsided by Trump's Credit Card Plan
Interest rate caps, like the one Trump is suggesting, require congressional approval. (Alex Brandon/AP) President Donald Trump’s latest proposal to cap credit card interest rates at 10%, a position most House Republicans staunchly oppose, caught most lawmakers off guard.One Republican, who sits on the Financial Services Committee, told NOTUS they “had no clue what was coming.”“Can’t figure out what the legal authority would be or how it would be…
Republicans snub Trump’s big credit card plan
Donald Trump has an ambitious plan to cap credit card interest amid widespread voter fears about the cost of living, one with rare Democrat backing, but according to a Wednesday report from The New York Sun, the plan has so far received rare pushback from Republicans.Amid his push to tackle affordability issues, Trump has demanded that banks cap their credit card interest rates at 10 percent, well below half of the average of 23.79 percent for a…
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