The proposed one-year cap, which Trump has said he wants implemented starting January 20, sent banking stocks tumbling last week and prompted financial groups to mount a defense. Barnum said JPMorgan would have to “change the business significantly and cut back” if the cap takes effect, adding that he believes the policy would produce “the exact opposite consequence to what the administration wants.”
Wall Street analysts remain skeptical the proposal will survive, noting that only Congress can enact such a measure. The average credit card interest rate in November stood at 20.97%, according to Federal Reserve data. Financial industry groups have countered that a 10% cap would result in millions of American households and small businesses losing access to credit entirely. A banking industry body called the potential impact “devastating.”
