Jan 22 (Reuters) – Bank of America and Citigroup are considering options to offer new credit cards with an interest rate cap of 10% to satisfy President Donald Trump’s demands, Bloomberg News reported on Thursday.
Both banks are weighing the new cards as a potential solution to the cap, the report said, citing people familiar with the matter.
Citigroup and Bank of America did not immediately respond to Reuters’ request for comment.
Trump said on Wednesday he would ask Congress to approve a 10% interest rate cap on credit cards for one year.
Industry executives have warned the move would prompt a pullback on lending and curb economic growth, though some experts argue credit cards are highly profitable and have room for lower rates.
(Reporting by Utkarsh Shetti in Bengaluru; Editing by Alan Barona)