Thu, 22 Jan 2026

Thu, 22 Jan 2026 Trump credit card plan would be a 'disaster', JP Morgan boss warns

Jamie Dimon said Donald Trump's interest rate cap proposal would restrict Americans' access to credit.
Jamie Dimon, CEO of JPMorgan Chase, has warned that US President Donald Trump's proposal to cap credit card interest rates at 10% would be "an economic disaster". The plan, which Trump outlined on Truth Social and reiterated at Davos, would remove credit from the majority of Americans and severely impact businesses such as restaurants, retailers, travel firms, and schools. Dimon stated that capping interest rates would cut access to credit for 80% of Americans, who rely on it as a backup. He also suggested that if Trump implemented the plan, it should be trialed in the states of Vermont and Massachusetts, where Senators Bernie Sanders and Elizabeth Warren reside. Trump's proposal has been met with criticism from US banking associations, who argue that capping interest rates would make it harder for people to access credit and be "devastating" for millions of families and small businesses. The average interest rate for credit cards in the US is roughly 20%. Dimon added that if Trump implemented the plan, it would not be the credit card companies that would suffer, but rather other businesses that rely on consumer spending. He stated that people would miss water payments, citing municipalities as an example. Trump has doubled down on his proposal, claiming that he had received calls from credit card company executives who wanted to give their customers a break. However, US banking associations have disputed this claim, arguing that capping interest rates would have severe consequences for consumers and businesses alike.
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