BizTrendWire Insight
Interest rate caps highlight rising pressure on lenders as politics and regulation reshape consumer credit pricing.
U.S. fintech firm Bilt Rewards has launched new credit cards with capped interest rates.
The company said annual rates will not exceed 10%.
This move follows public pressure from Donald Trump.
He had called for tighter limits on consumer credit costs.
Bilt said the cap applies across its new card lineup.
Meanwhile, most U.S. credit cards charge far higher rates.
The company said the decision supports predictable borrowing.
Therefore, customers face lower interest risks.
Bilt focuses on renters and everyday spending users.
In addition, it partners with banks for card issuance.
Industry data shows average U.S. card rates exceed 20%.
As a result, Bilt’s cap stands out in the market.
However, the firm did not share details on profit impact.
It also did not disclose expected customer growth.
Regulatory scrutiny of consumer lending has increased.
Meanwhile, political focus on household debt remains high.
Because of this pressure, lenders face closer review.
As a result, more firms may adjust pricing models.
Bilt said it will continue to monitor policy changes.
The company added that customer trust remains a priority.
Source: Reuters
