US President Donald Trump proposed to cap credit card interest rates at 10% for one year starting January 20, 2026, aiming to reduce consumer debt and prevent credit card companies from 'ripping off' the public. The plan has garnered support from some lawmakers like Senators Bernie Sanders and Elizabeth Warren but faces strong opposition from major banks and financial institutions. JPMorgan Chase CEO Jamie Dimon warned that such a cap would be 'an economic disaster,' as it could cut access to credit for 80% of Americans and harm industries like retail, travel, and education. Banks argue that interest rate caps would reduce their revenue, potentially leading to fewer credit offerings, higher fees, or stricter lending criteria, especially for high-risk borrowers. Analysts suggest that the policy might not significantly benefit consumers and could even lead to reduced credit access for vulnerable groups. The proposal has caused stock declines in credit card firms like American Express, Visa, and Mastercard. Despite bipartisan support in Congress, including efforts by Senators Hawley and Sanders, the plan faces hurdles from congressional opposition and bank lobbying. Some experts believe that banks could respond by raising fees or restricting credit rather than lowering rates, and that the actual savings for consumers might be limited. The debate highlights ongoing concerns about rising credit card debt, which has increased to over $1 trillion in the US, with average interest rates around 20%, up from 13% a decade ago. Personal stories from Americans struggling with high-interest debt illustrate the potential impact of such a policy.