Trump calls for one year cap on credit card interest rates at 10 percent to boost 'affordability'

WASHINGTON, DC: Donald Trump called for a 10 per cent limit on credit card interest rates, saying it would make borrowing more “affordable.” He insisted that citizens should no longer be “ripped off” by credit card companies.

Trump wants the credit card interest rate limit to start on January 20, marking one year since his administration began.

He described the plan as a temporary measure to help families struggling with high debt. On Truth Social, he suggested the limit should take effect on “the one year anniversary of the historic and very successful Trump Administration.”

He shared the post on Saturday, January 10, and used it to criticize former President Joe Biden administration as well.

Trump pushes for lower credit card rates to improve affordability

Donald Trump has renewed his push to limit credit card interest rates, framing it as a major step to protect Americans from high borrowing costs.

He shared, "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!"

"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%. 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. MAKE AMERICA GREAT AGAIN!" he concluded.

Trump’s use of the word “affordability” comes just over a month after he spoke critically about the term during a December Cabinet meeting.

At the time, he called it a Democratic "con job."

During his 2024 campaign, Trump pledged to put a limit on credit card interest rates. In 2025, lawmakers began acting on that promise.

Back in February 2025, Senators Bernie Sanders and Josh Hawley introduced a bipartisan bill to cap credit card rates at 10 per cent, referencing Trump’s campaign pledge.

The following month, Representatives Alexandria Ocasio-Cortez (AOC) and Anna Paulina Luna introduced a matching bill in the House.

Why are credit card rates becoming a major concern?

Rising credit card rates have become a major concern for consumers.

Over the past few years, interest rates on credit cards have jumped, following the Federal Reserve’s aggressive measures to fight inflation. 

Credit card interest rates have risen sharply in recent years, following the Federal Reserve’s rate hikes to tackle inflation.

Average credit card APRs are now at historically high levels, making revolving debt more expensive for consumers, as per CNBC.