In a bold move to protect consumers from high interest rates on credit cards, Senators Bernie Sanders and Josh Hawley have proposed a new bill that would cap credit card interest rates at 10%. This comes in response to the growing concern over the increasing burden of credit card debt on American households.

The average credit card interest rate currently stands at 16.28%, according to data from the Federal Reserve. This means that for every dollar of unpaid balance, consumers are paying over 16 cents in interest each month.

Critics of the proposal argue that capping credit card interest rates at 10% would hurt lenders and limit credit availability for consumers. They also warn that it could lead to unintended consequences, such as increased fees or reduced access to credit for low-income individuals.

However, supporters of the bill believe that it is a necessary step to protect consumers from predatory lending practices and help them better manage their debt. They argue that capping credit card interest rates would provide relief to millions of Americans struggling with high levels of debt and prevent them from falling further into financial hardship.

The debate over capping credit card interest rates is likely to continue in the coming months as lawmakers and industry stakeholders weigh the pros and cons of this proposed legislation.