Trump Proposes 10% Cap on Credit Card Interest Rates
Submitted by MAGA
Posted 2 hours ago
Trump's Bold Credit Card Interest Rate Proposal Sparks Heated Debate
In a striking campaign move, former President Donald Trump proposed capping annual credit card interest rates at a reasonable 10% during a recent rally on Long Island.
Addressing a spirited crowd of 16,000 supporters at the Nassau Coliseum, Trump asserted that working Americans deserve relief from the burden of skyrocketing credit card rates, which have averaged 21.5% as of May 2024.
"We're going to cap it at around 10%. We can't let them make 25 and 30%," Trump declared, outlining his vision to support American consumers amidst economic challenges.
However, this bold proposal has met with fierce criticism from banking associations, which warn of potential adverse effects on the very individuals Trump aims to help.
Critics, including representatives from the Consumer Banking Association, argue that implementing such caps could force credit card companies to drastically limit lending. Their concern is that only high-income consumers with excellent credit ratings would be able to secure credit, while those who need it most may be left without options.
Peter Schiff, a noted economist, echoed these fears, stating that "government-imposed price controls on credit card interest rates would harm all cardholders" and could lead to millions losing access to credit.
Trump’s proposal stands in stark contrast to policies advocated by Democrats, such as those proposed by Vice President Kamala Harris, which have drawn criticism for their similar approach to price controls. In fact, Trump has publicly labeled Harris's plans as "Marxist," aligning his economic strategy firmly against what he perceives as a leftist agenda.
The backdrop to Trump's proposal includes the recent announcement from Federal Reserve Chairman Jerome Powell regarding the first major rate cut since the COVID-19 pandemic began, lowering the benchmark interest rate to a range between 4.75% and 5%.
Trump's rally and his appearance on media platforms emphasize his approach to connecting directly with voters. In addition to his credit card interest proposal, he promised to cut car insurance rates in half, capitalizing on growing frustrations among Americans regarding soaring living costs.
As the campaign season heats up, it remains to be seen how the financial sector will respond to Trump's audacious proposal and whether it will resonate with voters seeking tangible relief from financial pressures.
For now, the political landscape is watching closely as the Republican frontrunner once again positions himself as the champion for American consumers.
Sources:
nypost.com
thegatewaypundit.com
thegatewaypundit.com
In a striking campaign move, former President Donald Trump proposed capping annual credit card interest rates at a reasonable 10% during a recent rally on Long Island.
Addressing a spirited crowd of 16,000 supporters at the Nassau Coliseum, Trump asserted that working Americans deserve relief from the burden of skyrocketing credit card rates, which have averaged 21.5% as of May 2024.
"We're going to cap it at around 10%. We can't let them make 25 and 30%," Trump declared, outlining his vision to support American consumers amidst economic challenges.
However, this bold proposal has met with fierce criticism from banking associations, which warn of potential adverse effects on the very individuals Trump aims to help.
Critics, including representatives from the Consumer Banking Association, argue that implementing such caps could force credit card companies to drastically limit lending. Their concern is that only high-income consumers with excellent credit ratings would be able to secure credit, while those who need it most may be left without options.
Peter Schiff, a noted economist, echoed these fears, stating that "government-imposed price controls on credit card interest rates would harm all cardholders" and could lead to millions losing access to credit.
Trump’s proposal stands in stark contrast to policies advocated by Democrats, such as those proposed by Vice President Kamala Harris, which have drawn criticism for their similar approach to price controls. In fact, Trump has publicly labeled Harris's plans as "Marxist," aligning his economic strategy firmly against what he perceives as a leftist agenda.
The backdrop to Trump's proposal includes the recent announcement from Federal Reserve Chairman Jerome Powell regarding the first major rate cut since the COVID-19 pandemic began, lowering the benchmark interest rate to a range between 4.75% and 5%.
Trump's rally and his appearance on media platforms emphasize his approach to connecting directly with voters. In addition to his credit card interest proposal, he promised to cut car insurance rates in half, capitalizing on growing frustrations among Americans regarding soaring living costs.
As the campaign season heats up, it remains to be seen how the financial sector will respond to Trump's audacious proposal and whether it will resonate with voters seeking tangible relief from financial pressures.
For now, the political landscape is watching closely as the Republican frontrunner once again positions himself as the champion for American consumers.
Sources:
nypost.com
thegatewaypundit.com
thegatewaypundit.com
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