Senator Elizabeth Warren, Ranking Member of the U.S. Senate Committee on Banking, Housing, and Urban Affairs, sent a letter to Federal Reserve Vice Chair for Supervision Michelle Bowman, Comptroller of the Currency Jonathan Gould, and Federal Deposit Insurance Corporation Chairman Travis Hill asking whether they plan to take enforcement action against large banks under President Trump's announced one year 10 percent cap on credit card interest rates, which he said would take effect on January 20, 2026. The letter asks whether the agencies view the directive as requiring supervisory or enforcement follow-up, while noting that average credit card interest rates remain about 25 percent. Warren argues the regulators did not act before or after the President's announcement to curb what she described as excessive credit card rates. She also points to the Federal Deposit Insurance Corporation's February 2025 withdrawal of legal support for Colorado's law limiting the interest that lenders can charge on credit cards and other financial products, including payday loans, and says the agencies have instead reduced rules intended to restrain risky bank behavior. The letter requests written responses on plans to enforce the credit card rate cap by May 11, 2026.
U.S. Senate Committee on Banking, Housing and Urban Affairs 2026-04-28
U.S. Senate Committee on Banking, Housing and Urban Affairs ranking member Elizabeth Warren seeks answers from bank regulators on President Trump's 10 percent credit card rate cap
Senator Elizabeth Warren, Ranking Member of the U.S. Senate Committee on Banking, Housing, and Urban Affairs, has asked the Federal Reserve, Office of the Comptroller of the Currency, and Federal Deposit Insurance Corporation whether they will enforce President Trump’s announced one-year 10 percent cap on credit card interest rates effective January 20, 2026. She criticizes regulators for failing to address what she calls excessive credit card rates averaging about 25 percent and for rolling back constraints on risky bank behavior, and requests written responses on their enforcement plans.