Capping credit card interest rates
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For example, the Prime Rate is currently 6.75%. There’s nothing preventing a card issuer from tweaking a new customer offer from Prime Rate + 13% up to Prime Rate + 13.25% if it wishes to mitigate the impact of a Fed rate cut and make more money from interest charges.
With credit card interest rates near modern highs, President Trump says he wants to cap the rates for one year.