Marshall moves to lock in Trump’s 10 percent rate cap
A Republican senator is pushing to turn President Donald Trump’s call for a credit card interest rate cap into law. Senator Roger Marshall of Kansas plans to introduce a bill that would limit credit card rates to 10 percent for one year.
The proposal reflects Trump’s long stated view that credit card companies charge unfair rates. Marshall says the goal is to ease pressure on families struggling with high interest debt. But the plan has already drawn resistance from Republican leaders in both the House and Senate.
What the bill would do
Marshall’s proposal is called the Consumer Affordability Protection Act. It would apply only to banks and financial institutions with more than 100 billion dollars in assets. Smaller community banks and most credit unions would be exempt.
Under the bill, large lenders would be barred from charging more than 10 percent interest on credit cards for one year. Marshall argues that this temporary limit would give consumers a chance to pay down balances without being buried by interest.
He said credit cards were meant to help people manage expenses, not trap them in long term debt. Marshall added that many working Americans are stuck paying rates above 20 percent, making it hard to ever get ahead.
Trump and bipartisan allies support the idea
Trump has repeatedly criticized high credit card rates and said consumers have been taken advantage of for years. In a recent post, he called for a one year cap starting in January 2026.
Marshall’s effort has drawn some bipartisan backing. Democratic Senators Dick Durbin and Peter Welch are co sponsors of the bill. Marshall and Durbin also work together on a separate proposal aimed at boosting competition among credit card payment networks.
Senator Elizabeth Warren has also expressed support for capping interest rates. She said she has backed the idea for years, though she remains skeptical that it will actually move forward.
GOP leaders warn of credit shortages
Despite Trump’s support, top Republicans are not convinced. Senate Majority Leader John Thune warned that a rate cap could reduce access to credit, especially for higher risk borrowers.
Thune said lenders might stop offering traditional credit cards or sharply limit borrowing amounts. He argued that such changes could hurt the very consumers the bill is meant to help.
House Speaker Mike Johnson echoed those concerns. He said the proposal could have unintended effects, including lenders pulling back from issuing credit altogether.
Uncertain path ahead
Marshall’s bill highlights growing tension inside the GOP over how to address affordability. While Trump and some lawmakers want bold action on consumer costs, party leaders remain cautious about government limits on lending.
For now, the proposal faces an uphill climb. Still, the mix of Republican and Democratic support shows the issue is far from settled as lawmakers debate how far to go in reshaping credit card rules.
