US President Donald Trump has announced a proposal for a one-year, 10% cap on credit card interest rates, slated to become effective on January 20, 2026. The announcement was made via his social media platform, Truth Social, and was subsequently confirmed by the White House through social media. Trump framed this initiative as a crucial step to enhance affordability for American consumers, asserting that it would prevent credit card companies from 'ripping off' the public with exorbitant interest rates, which he claims often range from 20% to 30% or even higher. He also criticized the previous administration for not adequately addressing these high rates. This proposal re-emerges as a key campaign promise from the 2024 election. However, details on the implementation mechanism remain unclear, with many analysts and lawmakers suggesting that a nationwide cap on credit card interest rates would likely necessitate congressional approval. The banking industry has voiced concerns, warning that such a cap could potentially reduce credit availability and inadvertently push consumers towards less regulated, higher-cost alternatives. It's also noted that Trump's stance on consumer financial protections has seen shifts, with his administration previously rolling back other fee limits, such as an $8 cap on credit card late fees. Despite these complexities, the call for a 10% interest rate cap addresses growing concerns about consumer debt, a sentiment echoed by various bipartisan legislative efforts, including proposals from Senators Bernie Sanders and Josh Hawley.