Story perspectives

Senator Proposes 10% Credit Card Rate Cap Amid Opposition

1/16/2026

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Summary

Story summary

Senator Roger Marshall (R-Kan.) plans to introduce legislation capping credit card interest at 10% for one year, aligning with U.S. President Donald Trump’s proposal.
Many Republicans oppose the idea due to concerns about sustainability and credit availability.
House Speaker Mike Johnson warns caps could limit credit access and push consumers toward riskier lending.
Some Democrats express interest in exploring the proposal.
The average credit card rate is about 20–23%.

History

Historical Context

The Credit Card Accountability Responsibility and Disclosure Act, enacted on May 22, 2009, aimed to protect consumers from unfair credit card practices, including arbitrary interest rate hikes. This law followed decades of regulatory changes, including the 1978 Supreme Court ruling in Marquette Nat. Bank v. First of Omaha, which allowed banks to bypass state usury laws, significantly shaping the credit card industry and consumer lending practices.

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Story summary

Senator Roger Marshall (R-Kan.) plans to introduce legislation capping credit card interest at 10% for one year, aligning with U.S. President Donald Trump’s proposal.
Many Republicans oppose the idea due to concerns about sustainability and credit availability.
House Speaker Mike Johnson warns caps could limit credit access and push consumers toward riskier lending.
Some Democrats express interest in exploring the proposal.
The average credit card rate is about 20–23%.

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