President Trump's proposal to cap credit card interest rates at 10% for one year is drawing fire from an unexpected direction: economist Peter Schiff, who's calling the move both unconstitutional and hypocritical.
The Irony Isn't Lost on Anyone
In a post on X Sunday, Schiff didn't mince words. He labeled Trump's interest rate cap as "socialist price control," which would be unremarkable criticism except for one detail: Trump spent considerable time on the campaign trail last year hammering Kamala Harris for proposing price controls on groceries. Now he's proposing essentially the same thing, just for credit cards instead of eggs.
Schiff warned the policy could backfire spectacularly. "This will force lenders to cut credit limits and close accounts for higher-risk borrowers," he said, predicting the cap would disrupt consumer lending markets rather than help everyday Americans.
Trump wants credit card companies to implement the cap by January 20, 2026, exactly one year into his second term. The proposal fits into a broader pattern of populist economic announcements from the administration this past week, including a ban on institutional buyers purchasing single-family homes and a $200 billion initiative targeting lower mortgage rates.