Josh Holie, Bernie Sanders suggests a 10 % credit card interest rate

A new draft law from the two parties presented by a pair of Senate members that would achieve the interest rates of credit cards in an attempt to help consumers and accomplish one of the president Donald Trump Campaign promises.

Sens. Josh Hawley, R-MO. , And Bernie SandersI-VT submitted legislation that would achieve credit interest rates by 10 % upon age of the bill in the law. The cover will remain valid for five years.

“During the campaign, President Trump pledged to provide interest rates on the credit card by 10 %,” Sanders said in a statement. “Today, I am proud to submit legislation from the two parties with Senator Holie to do so.”

“When large financial institutions receive more than 25 % of the interest on credit cards, they do not participate in business to allow credit. It works in extortion and loan sharing,” Sanders added. “We cannot continue to allow large banks to achieve huge profits tearing up the American people.”

The US credit card assumptions rise to the highest level in 14 years

Holly said In a statement stating that determining the interest rates of credit cards by 10 %, such as Trump, which carried out a campaign “is a simple way to provide meaningful relief for workers.”

“Americans working in standard credit cards are drowning while the two largest credit card sources become richer and richer by walking long distances at interest rates to the moon.” “This is not only a mistake, it’s exploitative. It must end.”

In the last conference, Holie presented a bill to achieve interest rates on the credit card by 18 %, although it is He died in the committee Without receiving a vote.

The press statement issued by Sanders and Holly indicated that in September, the Trump campaign said: “President Trump has promised to provide interest rates by 10 % to provide temporary and immediate relief to the diligent Americans who are struggling to cover their expenses and cannot afford the costs of huge interest payments in addition to the The high costs of mortgages, rent, grocery and gas.

How to affect credit cards criticism fees on shoppers

Critics of proposals for CAP credit card interest rates Note that it is likely that financial institutions are more restricted to extending credit and providing credit cards to borrowers who have relatively poor credit grades, and perhaps by reducing the credit card bonuses they provide.

“There is no doubt that the maximum credit card price will have a tremendous impact on credit card holders to what is just reducing interest payments,” said Matt Schools, Credit Senior Credit at Lindingtree. “The banks were vocal because the maximum rate, even one is much smaller than the maximum of 10 % supported by President Trump, will lead to a significant decrease in credit card bonuses and even to reduce credit access to those who have incomplete credit.”

Get Fox Business on the Go by clicking here

“However, it is also clear that most Americans are ready to accept each of these consequences if that means setting prices,” Schulz added, noting that the LindingTree survey from December results in low bonuses, while supporting six out of 10 even if it is It is restricted to the credit for many.