Financial analysts are flagging some tricky side effects from the proposed 10% credit card interest rate cap. Sounds good in theory—lower rates help consumers—but the real-world impact could be messier. Banks might tighten lending standards, credit availability could shrink, and borrowers with weaker credit profiles could get squeezed out of the market entirely. It's a classic policy trade-off: protecting some borrowers while potentially hurting others.
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Financial analysts are flagging some tricky side effects from the proposed 10% credit card interest rate cap. Sounds good in theory—lower rates help consumers—but the real-world impact could be messier. Banks might tighten lending standards, credit availability could shrink, and borrowers with weaker credit profiles could get squeezed out of the market entirely. It's a classic policy trade-off: protecting some borrowers while potentially hurting others.