Fact check: Is your credit card company required to cap its interest rate at 10%?
WRAL • • business
Key Points:
- President Donald Trump announced a policy to cap credit card interest rates at 10% for one year starting January 20, 2026, amid voter concerns about the economy and affordability.
- Trump claimed credit card companies would be "in violation of the law" if they do not comply, but no such law currently exists, and passing legislation by the January deadline is highly unlikely.
- Legal experts state that an executive order attempting to enforce this cap on private companies would likely be unconstitutional and unenforceable without Congressional approval.
- Bipartisan interest in capping credit card rates exists among some lawmakers, but the financial industry strongly opposes such a cap, warning it would reduce credit availability and harm consumers and businesses.
- Politi
