President Donald Trump on Friday announced a proposal to cap credit card interest rates at 10% for one year, starting January 20.
Trump did not provide details on how the policy would be implemented or how credit card companies would be required to comply with the cap.
The announcement echoes a promise Trump made during his 2024 presidential campaign, which he won, in which he pledged to limit consumer interest rates to provide financial relief for Americans.
Financial experts caution that while the proposal could lower borrowing costs for credit card holders, questions remain about enforcement and potential impacts on lenders and the credit market.
Trump’s announcement comes amid growing public concern over high-interest debt and rising living costs, a key issue for many Americans in the new year.