#credit-card-rate-cap

#credit-card-rate-cap

In January 2026, mortgage industry professionals and banking trade groups warned that President Donald Trump's proposed 10% interest rate cap on credit cards could have unintended negative consequences for homebuyers and the broader economy. While intended to provide financial relief, experts argue the measure could inadvertently tighten credit access and damage borrower credit scores. The primary concerns cited by mortgage and finance experts include:

He ordered Fannie Mae and Freddie Mac to use their balance sheets to buy $200 billion worth of mortgage bonds, aimed at putting downward pressure on mortgage rates that could entice new homebuyers. That news rippled through bond markets last week and lowered rates. Trump also said that credit card rates should be capped at 10% for one year, beginning next week - though it's unclear whether banks would honor that demand without legislation or regulations that force them to.