A proposal pitched as a way to help consumers struggling with interest rates is unsettling the financial sector. As President Donald Trump and other populist lawmakers push for a 10% cap on credit card interest rates, banks argue that such a cap could limit access to credit.

Trump initially proposed during his 2024 presidential campaign a one-year 10% cap to help “working Americans catch up” on payments. This was due to higher interest rates and inflation running near 3%.