President Donald Trump's call for putting a one-year, 10 percent cap on credit card rates certainly catches the eye — and no surprise, has caught the wrath of bankers.
Consumers are fed up with the outrageously high interest rates being charged on their credit cards. Banking experts say 10 percent is way too low to keep lending to riskier consumers with weak credit histories.
In his speech to the Detroit Economic Club on Tuesday, Jan. 13, at the MotorCity Casino Hotel, Trump called "affordability" a fake word that Democrats like to use. He said many prices, such as gas prices, already have come down to help consumers.
At the same time, though, Trump noted in his Detroit speech that he soon will provide a slew of proposals to lower consumer costs, including his effort to drive credit card companies to cap interest rates at 10 percent for one year.
"The rates are way too high," Trump said at the Detroit Economic Club. Trump indicated that he would outline his agenda during a speech at the World Economic Forum’s annual meeting in Davos, Switzerland, next week.
