Warren Says Congress Could Team Up With Trump on Credit Card Rate Cap After Surprise Phone Call
Sen. Elizabeth Warren and President Donald Trump rarely find common ground, but a surprise phone call following a sharp speech on affordability has opened the door to a potential bipartisan fight over credit card interest rates; and possibly housing costs as well.
Trump has proposed a temporary 10% cap on credit card interest rates, an idea Warren has championed for years. While the politics are complicated and industry opposition is fierce, both sides now say a conversation has begun.
A Rare Point of Agreement on Credit Card Rates
Warren, a progressive Democrat from Massachusetts, said she supports Trump’s call to cap credit card interest rates; not because it’s new, but because she’s been advocating for it for years.
“When he announced this a year ago, I said, great — I’ve been proposing that for years. Let’s do it,” Warren said. “And what’s Donald Trump done since then? Nothing.”
Trump’s latest proposal would cap credit card rates at 10% for one year, targeting cards that currently charge 20% to 30% or more.
Trump Calls Warren After Affordability Speech
The renewed attention came after Warren delivered a speech Monday morning at the National Press Club criticizing Trump’s record on lowering costs for families.
“I said that if he really wants to get something done, including capping credit card interest rates or lowering housing costs, he would use his leverage and pick up the phone,” Warren said.
According to Warren, Trump did exactly that — calling her shortly after the speech.
“Congress Can Pass This If He Will Fight for It”
Warren said she used the call to press Trump to actively support legislation rather than simply float ideas.
“I told him that Congress can pass legislation to cap credit card rates if he will actually fight for it,” she said in a statement. “I delivered this same message on affordability to him directly.”
A White House official later confirmed the call took place and described it as “productive.”
Housing Costs Also Part of the Conversation
Warren said the conversation went beyond credit cards, touching on housing affordability; another major pressure point for American households.
She urged Trump to push House Republicans to pass the bipartisan ROAD to Housing Act, which would expand housing supply and passed the Senate unanimously but has stalled in the House.
“Donald Trump has not lifted a finger to get that bill passed,” Warren said.
Trump’s Public Push for a 10% Cap
Trump publicly called for the rate cap Friday in a post on Truth Social, framing it as an affordability crackdown.
“We will no longer let the American Public be ‘ripped off’ by Credit Card Companies that are charging Interest Rates of 20 to 30%,” Trump wrote. “AFFORDABILITY!”
The White House has increasingly emphasized cost-of-living issues ahead of the midterm elections.
Industry Groups Warn of Major Consequences
Banks and credit card issuers are strongly opposed to the proposal, arguing that a cap would reduce access to credit; especially for higher-risk borrowers.
A coalition including the American Bankers Association said a 10% cap “would reduce credit availability and be devastating for millions of American families and small business owners.”
Bank stocks dipped after Trump’s announcement over the weekend.
Republican Support Exists; But It’s Limited
While a Republican-controlled Congress would be a major hurdle, the idea is not without GOP backers.
Missouri Sen. Josh Hawley and Florida Rep. Anna Paulina Luna have both expressed support for limiting credit card interest rates, giving the proposal a small but notable bipartisan foothold.
Long-Running Feud Adds Political Complexity
The potential cooperation comes despite years of public hostility between Trump and Warren. During the 2016 campaign and afterward, Trump repeatedly attacked Warren with derogatory nicknames, including references to her past claims of Native American ancestry.
Warren has also been sharply critical of Trump’s Justice Department and its investigation into the Federal Reserve and Chair Jerome Powell.
Democrats and Republicans Both Eye Affordability Messaging
Affordability remains a politically potent issue. While Republicans won on economic messaging in 2024, Democrats have seen success emphasizing cost-of-living concerns in recent off-year and special elections.
Both parties now appear eager to claim the issue ahead of the midterms; even if cooperation proves fleeting.
A Deal Is Far From Certain; But the Door Is Open
Trump has not publicly detailed his version of the phone call, and it remains unclear whether he will actively push Congress to act. Still, the exchange marks a rare moment where ideological rivals are at least discussing a shared policy goal.
For Warren, the message is simple: rhetoric isn’t enough.
“If he really wants to lower costs for families,” she said, “he needs to actually fight for it.”
Warren posted a statement of her call on X.
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John Dealbreuin came from a third world country to the US with only $1,000 not knowing anyone; guided by an immigrant dream. In 12 years, he achieved his retirement number.
He started Financial Freedom Countdown to help everyone think differently about their financial challenges and live their best lives. John resides in the San Francisco Bay Area enjoying nature trails and weight training.
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