By Micah Jonah
January 22, 2026
JPMorgan Chase CEO, Jamie Dimon has called US President Donald Trump’s plan to cap credit card interest rates at 10 percent an “economic disaster,” warning that the proposal could remove access to credit for up to 80 percent of Americans.
Speaking at the World Economic Forum in Davos, Switzerland, Dimon said the cap would force banks to restrict credit for those with credit scores below 740, affecting millions who rely on credit cards as a financial safety net. “People crying the most will not be the credit card companies, it will be the restaurants, retailers, travel companies, schools, municipalities,” Dimon said.
Trump has argued that the cap would save borrowers about $100 billion annually, help Americans reduce mounting credit card debt. The push has attracted support from progressive lawmakers like Senators Bernie Sanders and Elizabeth Warren, but faces significant hurdles in Congress. Republican leaders, including House Speaker Mike Johnson, have raised concerns about unintended consequences.
Economic analysts caution that while the proposal has political appeal, its practical implementation could disrupt lending, consumer spending, broader economic activity. Bank stocks have reacted cautiously, with Mastercard and Visa down slightly, while American Express and major bank stocks showed modest gains.
Dimon suggested a limited trial in Vermont and Massachusetts to measure the impact before a nationwide rollout, noting that careful testing could reveal potential risks.
