Efforts to cap credit card interest rates at 10% have gained momentum as a bipartisan group of lawmakers pushes forward with legislation that aligns with a key campaign promise from President Donald Trump.
Rep. Alexandria Ocasio-Cortez, D-N.Y., and Rep. Anna Paulina Luna, R-Fla., have introduced a bill in the House that mirrors a proposal from Sens. Josh Hawley, R-Mo., and Bernie Sanders, I-Vt., introduced last month. The legislation would prohibit credit card companies from charging interest rates above 10%, a move designed to provide relief to Americans struggling with mounting debt.
ICYMI Anna Paulina Luna and AOC authored a bill together. 😳😆
It’s a bill to cap credit card interest rates at 10%. Good one to get passed though because they are also wanting us to receive 2 years backpay on percentages over 10. pic.twitter.com/6ApjEFSldo
— ©. (@RebelValkyrie17) March 8, 2025
Trump made the issue central to his campaign, vowing to end what he called abusive lending practices. “We’re going to put a temporary cap on credit card interest rates. We’re going to cap it around 10%. We can’t let them make 25 and 30%,” he said last year.
Luna, a member of the conservative House Freedom Caucus, defended her role in the effort, dismissing concerns over working with Ocasio-Cortez. “This isn’t about left or right. It’s about fairness,” she wrote on X in response to those questioning the partnership.
The proposal has drawn sharp criticism from financial institutions, which argue that capping interest rates would limit access to credit and force lenders to find alternative ways to make up for lost revenue. Some lawmakers have also expressed skepticism, questioning whether a cap would lead to unintended consequences such as increased fees on other financial services.
Despite the pushback, supporters argue the legislation is necessary to stop credit card companies from exploiting working-class Americans. The bill’s progress in Congress remains uncertain, but it has reignited debate over financial industry practices and consumer protections.
