It wouldn’t even be people with “low” credit. You would need to have the best credit for interest rates capped at 10% on credit cards. That risk isn’t worth it to banks. They just will not give credit cards to people unless they have excellent credit.
Those are backed by cash if I’m not mistaken. You would just use cash for emergency if you have it.
I don't work in banking. But there is a massive amount of money to be made on credit and loans. Institutions are not just going to walk away from higher risk individuals just because they're capped at 10%. They'll just come up with some other mechanism to provide financing.
Oh I thought you said you worked for CS a while back. Maybe I’m not remembering correctly.
I have near perfect credit. I still can’t get a credit card with rates below maybe 18%. I don’t even know what it is.
Ok that's fair. I worked for CS on the brokerage side in fintech.
In the end it’s not much different than capping prices on goods. Government kills the market and creates shortages. In this case it would be credit.
$2.57 here in Jonesville.
you might be right brother. Idk how it’s going to work but credit card companies have outrageous, unfair rates and fees and they need to be reigned in a little.
