Bryan Metzger

Trump says his call for a 10% credit card cap sounds like Zohran Mamdani’s idea

President Donald Trump knows he’s aligning himself with the progressive left when it comes to credit cards.

During an interview with CNBC’s Joe Kernen in Davos on Wednesday, Trump acknowledged that his call for a 10% cap on credit card interest rates isn’t a standard conservative policy.

In fact, he joked that it’s something that New York City Mayor Zohran Mamdani, a Democratic socialist, might have come up with.

“I know it’s sort of like… it sounds like the mayor of New York maybe came up with that,” Trump said with a laugh.

Following Mamdani’s election in November, the two met in the Oval Office and appeared to share some common ground in remarks to the press afterwards.

“I’m conservative, but I think I’m common sense, you know?” Trump said on Wednesday. “People say, ‘Are you a conservative?’ I say, ‘Yeah, but I’m a common-sense person.’ I mean, I do things that aren’t necessarily that conservative sometimes.”

Trump said he respected credit card companies but that consumers can’t afford to pay high rates.

“Whatever happened to usury? They can’t pay 28%,” Trump said.

Earlier on Wednesday, Trump called on Congress to pass a bill capping credit card interest rates at 10% for one year.

Key Republicans in Congress have been cool to that idea, with House Speaker Mike Johnson telling reporters last week that Trump “probably had not thought through” the potential downsides of the policy and that credit card companies may “just stop lending money” or “cap what people are able to borrow at a very low amount.”

Many business leaders have also been critical of the idea.

Yet Trump’s call has also been met with agreement from some progressives, including Sen. Elizabeth Warren of Massachusetts, whom Trump called last week.

In Congress, Independent Sen. Bernie Sanders of Vermont and Republican Sen. Josh Hawley of Missouri have introduced a bill that would do just what Trump said, capping credit card rates at 10% for a year.




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Trump calls for a one-year 10% cap on credit card interest in a Truth Social post

  • President Donald Trump said that he was calling for a 10% cap on credit card interest for one year.
  • The President cannot unilaterally cap credit interest rates; it would require an act of Congress.
  • This week, Trump has also announced proposals to address the affordability of housing.

President Donald Trump has taken another shot at big business, this time targeting banks.

On Friday, Trump said on Truth Social that he would call for a 10% cap on credit card interest for one year.

“Please be informed that we will no longer let the American Public be ‘ripped off’ by Credit Card Companies that are charging Interest Rates of 20 to 30%, and even more, which festered unimpeded during the Sleepy Joe Biden Administration,” Trump wrote in his social media post.

“Effective January 20, 2026, I, as President of the United States, am calling for a one year cap on Credit Card Interest Rates of 10%,” he added. “Coincidentally, the January 20th date will coincide with the one year anniversary of the historic and very successful Trump Administration.”

The White House did not immediately respond to a request for comment from Business Insider. The president cannot unilaterally impose such a cap; it would require an act of Congress to advance. Similar efforts that have been advanced in Congress have yet to become law.

The announcement, made on Truth Social, is the latest in a series of swipes at big business this week.

Earlier this week, he announced that he is instructing “representatives” to buy $200 billion in mortgage bonds, aiming to lower interest rates and monthly payments. He also said he was barring “large institutional investors” from buying up single-family homes and signed an executive order that would limit defense contractors’ corporate spending.

This is a developing story. Please check back for updates.




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Trump wants to cap defense CEO pay. Here’s how much they make now.

President Donald Trump is targeting the bank accounts of defense contractor CEOs.

On Wednesday, Trump signed an executive order outlining new rules for defense contractors that would ban stock buybacks and dividends “until such time as they are able to produce a superior product, on time and on budget” — as well as limit executive compensation.

The order stipulates that in future contracts, if the Secretary of War were unsatisfied with a company’s performance, executive base salaries would be capped at current levels. Future contracts would also ensure compensation “not be tied to short-term financial metrics” and instead be “linked to an on-time delivery, increased production, and all necessary facilitation of investments and operating improvements.”

The goal, per the executive order, is to increase the speed of innovation at defense companies, rather than focus on corporate profits.

Trump also took aim at the leaders of defense contractors in a series of posts on Truth Social on Wednesday.

“Executive Pay Packages in the Defense Industry are exorbitant and unjustifiable given how slowly these Companies are delivering vital Equipment to our Military,” Trump wrote. “Salaries, Stock Options, and every other form of Compensation are far too high for these Executives.”

He proposed that no executive should earn “in excess of $5 million” until their production speed and maintenance improve, though the executive order did not cap pay at that exact amount.

The leaders of the big five defense contractors — Lockheed Martin, RTX (formerly known as Raytheon), Northrop Grumman, Boeing, and General Dynamics — each earned more than $18 million in total compensation in 2024, the most recent year for which data is available. Their total income was a combination of salary, incentives, stock options, and other forms of compensation, including the value of security services and changes in the value of pension funds.

While exceeding the $5 million cap proposed by Trump by magnitudes, the CEOs’ compensation pales in comparison to that of some other business leaders.

Dozens of CEOs earned more than them in 2024. James Robert Anderson, who runs materials manufacturer Coherent, had a pay package of more than $100 million last year. The CEOs of Starbucks, GE, and Microsoft each made more than $75 million.

Executive pay and stock transactions are part of Trump’s larger plans for the military. On Wednesday evening, he said on Truth Social that America’s military budget should be increased to $1.5 trillion in 2027, up from the record 2026 defense budget of $901 billion.

That sent defense stocks climbing on Thursday morning, gaining back what they’d lost following the signing of the executive order.

In a statement to Business Insider regarding the order, a spokesperson for Lockheed Martin said the company “shares President Trump’s and the Department of War’s focus on speed, accountability, and results, and will continue to invest and innovate at scale to ensure our warfighters maintain a decisive advantage and are never sent into a fair fight.”

Boeing and General Dynamics declined to comment, and Northrop Grumman and RTX did not immediately respond to requests for comment.




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