Trumps proposed cap on credit card interest sparks industry concerns
President Trumps bid to compel credit card issuers to cap their interest rates at 10% for one year has banks, airlines and other travel suppliers on guard.
Such a requirement could diminish credit card profit margins, leading to stricter lending requirements as well as reductions in the number of points rewarded for purchases made with co-branded cards. Other possibilities include higher annual fees and less generous sign-up offers for co-branded cards, said John Kiernan, managing editor of personal finance company Wallet Hub.
Co-branded cards aimed at higher-risk consumers would likely take the biggest hit.


