This Week in Credit Cards: Sanders Says Trump Lied About 10% Credit Card Rate Cap

Senator Bernie Sanders (I-VT) is calling out President Donald Trump over his unfulfilled proposal to cap credit card interest rates.

“Trump promised to cap credit card interest rates at 10%,” Sanders wrote on X, formerly known as Twitter, on the morning of July 15. “He lied.”

At the beginning of the year, Trump posted a message on Truth Social in which he called for a 10% cap on credit card interest rates to go into effect on January 20. No nationwide cap has taken effect.

Bernie Sanders says President Trump lied about a credit cap, Stripe renews its interest in buying PayPal, and new card products arrive from USAA. Find out what else happened This Week in Credit Cards 💳 https://t.co/0qAD2ZZZqt pic.twitter.com/DGyXDbdRbe

— CardRates News (@CardRatesNews) July 17, 2026

Banking groups opposing the proposal argue that a 10% ceiling could restrict access to credit and reduce card rewards. If issuers can’t collect adequate compensation for lending to higher-risk borrowers, banking groups warn that they could restrict card access for consumers without excellent credit.

Issuers could also decide to scale back the value of credit card rewards programs or raise other card fees if a 10% cap moves forward.

Financial technology platform Stripe wants to acquire PayPal, and it’s part of a group reportedly willing to pay more than $53 billion to do so.

According to Reuters, Stripe has joined forces with private equity company Advent International to make an offer of $60.50 per share to acquire PayPal, valuing the company at more than $53 billion. PayPal’s stock came in at $47.32 at the close of the market on July 14, but jumped on the news to $56.73 per share by the time the market closed July 16.

This isn’t the first time Stripe has expressed interest in buying PayPal. Reports of Stripe’s interest in a deal first surfaced in February. PayPal had not responded to the latest reported offer, but the suitors hope to begin discussions with the company.

PayPal has struggled in the market recently. Reuters reported that the company had lost nearly 40% of its market value over the previous year. But that doesn’t necessarily mean it will take the offer from Stripe and Advent International.

Enrique Lores took over as CEO of PayPal earlier this year. Reuters reported that Andrew Jeffrey, a research analyst at William Blair, said Lores may view the bid from Stripe and Advent as a lowball offer. Jeffrey added that the two companies may eventually offer as much as $70 per share to acquire PayPal.

In response to higher prices on everyday essentials like groceries and gas, USAA rolled out a new suite of credit cards this week that could help members offset some of those costs.

The new cards include the Eagle Adapt Visa Credit Card, which gives cardholders 3% cash back on the first $3,000 in combined purchases each quarter across dining, gas, groceries, home improvement, and other eligible spending categories. Other purchases with the Eagle Adapt card earn 1% cash back.

Meanwhile, the new Eagle Ascend American Express Credit Card offers 2% cash back in the cardholder’s top eligible spending category each month, including dining, gas stations, groceries, and other eligible categories. Other purchases earn 1% cash back. USAA will waive one late fee for Eagle Ascend cardholders every 12 months.

Along with introducing the two new cards, USAA updated its Cashback Rewards Plus American Express Credit Card. Cardholders can earn 3% back on the first $3,000 they spend on groceries each year and 5% back on the first $3,000 in gas station purchases annually.

The first $5,000 in military-base purchases per year are also eligible for 5% cash back. Other purchases earn the same 1% rate available with the Eagle Adapt and Eagle Ascend cards.

Recent bank earnings gave the Merchants Payments Coalition more ammunition in its campaign to lower interchange fees.

The merchant advocacy group issued a press release citing second-quarter earnings from some of the leading banks in the U.S. It argued that the results show issuers can afford to reduce interchange fees.

Doug Kantor, National Association of Convenience Stores General Counsel and Executive Committee Member of the Merchants Payments Coalition, said in the release that megabank profits are driven largely by “swipe fees.” He added that the fees cause prices to rise at a time when affordability is a concern for many Americans.

JPMorgan Chase’s net profits for this year’s second quarter were up 41% compared with the same quarter last year, and it’s on the verge of becoming the world’s first trillion-dollar bank in valuation. Citigroup’s net profits increased 45% over the same period, the release said.

Shoppers are relying on credit cards to keep their refrigerators and pantries stocked, but rising grocery costs may leave some paying for food long after checkout.

A new survey from the Urban Institute, a nonprofit research organization, found that some working-age adults used credit cards for groceries but did not always make the minimum payments on their card bills.

Elevated supermarket prices can become even more expensive when interest charges — and potentially late fees — accumulate.

Prices for common grocery-store items, including ground beef and orange juice, have climbed more than 20% since January 2025, according to NBC News. And prices may not come down anytime soon.

Dana M. Peterson, Chief Economist at The Conference Board, recently told Fox News Digital that factors including supply chain strains will likely keep prices elevated for the foreseeable future.