President Donald Trump announced a one-year cap on credit card interest rates at 10%, blaming the Biden administration for allowing rates to reach 20–30%.

He said the cap would take effect on January 20, 2026, marking one year since his return to the White House.

Sen. Bernie Sanders had previously proposed a similar 10% cap lasting until 2031 and criticized Trump for not acting sooner, while Sen. Elizabeth Warren called Trump’s plan a “joke.”

Critics, including billionaire Bill Ackman, warned that such a cap could lead banks to cancel cards, leaving consumers worse off, Fox Business has reported.

Some Republicans, like Sen. Josh Hawley, supported the proposal, though the White House and Sanders’ office had not commented.