www.marketwatch.com
If President Trump caps credit card APRs at 10%, issuers will likely shift their focus to retaining their most profitable customers. Facing potential revenue loss from lower interest charges, lenders would prioritize low-risk, high-spending clients with strong credit histories. This could lead to reduced credit limits, stricter approval standards, and fewer rewards for subprime borrowers. Banks may also introduce new fees or increase existing ones to compensate for the lost interest income. Overall, the proposed cap would reshape the credit card market, creating a more exclusive environment for financially sound consumers.
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