Lawmakers Concerned Credit Card Debt Cap Might Hurt... Banks?
The Hill reports that Speaker Mike Johnson, among others, is voicing apprehension over a 10 percent credit card interest rate cap, suggesting it could ripple through the financial system. His concern, articulated during a discussion with former President Trump, focuses on the 'freedom of contract' and the specter of reduced credit access for consumers. (The same 'freedom' that allows interest
rates higher than many personal loans, apparently.) This isn't about protecting the financially vulnerable, but rather shielding the exorbitant profits of financial institutions. While Johnson laments potential 'unintended consequences,' perhaps the truly unintended consequence would be consumers keeping more of their own money. One might wonder if the 'freedom of contract' he champions extends to
the freedom from predatory practices that plunge working families into inescapable debt cycles.