Summary
President Donald Trump proposed a one-year limit of 10% on credit card interest rates, a plan supported by some Democrats but facing opposition from many Republican leaders. Credit card use is widespread in the U.S., and total debt has reached $1.23 trillion as many struggle to pay their bills. Some Republicans warn that this cap might reduce the availability of credit.
Key Facts
- President Trump proposed a 10% cap on credit card interest rates for one year.
- Many Democrats support the cap, including Senators Bernie Sanders and Elizabeth Warren.
- Republican leaders, like Senate Majority Leader John Thune, oppose the proposal.
- U.S. households have a total credit card debt of $1.23 trillion.
- Credit cards are used for about one-third of all purchases in the U.S.
- Some Republicans worry that the cap could limit access to credit for people.
- 74% of Americans own at least one credit card, as per a Federal Reserve report.
- A few Republicans, like Senator Josh Hawley, support Trump’s proposal.
