By Ray Birch
WASHINGTON— After months of rhetoric around a proposed 10% credit card interest rate cap and repeated signals of support for the Credit Card Competition Act, President Donald Trump made no mention of either issue during Tuesday night’s State of the Union address — a notable omission for banks and credit unions that had been bracing for potential policy signals.
In the weeks leading up to the speech, Trump had publicly discussed a 10% rate cap concept and faced questions over his position on the bipartisan Marshall/Durbin CCCA, which would mandate routing changes in the credit card market.
CUToday.info has reported extensively in recent months on the industry’s concerns that a rate cap could tighten credit availability and pressure smaller institutions, as well as on the CCCA’s potential impact on interchange revenue and fraud liability. Yet neither topic surfaced in the address, despite prior expectations that Trump might revisit them.
Instead, the president--during his record-length address that was boycotted by dozens of Democratic lawmakers--focused heavily on inflation, tax cuts, tariffs and border security. He touted cooling CPI data, rising real wages and falling mortgage rates, emphasized his “Working Families Tax Cuts,” and defended his tariff strategy — including a newly announced 10% global tariff under Section 122 authority following the Supreme Court’s ruling on earlier tariff actions. The speech framed trade policy, immigration enforcement, healthcare pricing reforms and housing affordability as central economic themes, with no reference to consumer credit pricing or card-market structure.
For financial institutions, the silence may be as meaningful as any policy statement. After weeks of speculation — and concern in some quarters about compressed margins, regulatory complexity and downstream credit tightening — the absence of credit card rate-cap or interchange language leaves the industry in a wait-and-see posture heading into the next phase of congressional debate.
DCUC Reacts To Trump’s Address
“Tonight’s address struck an important tone on the economic challenges facing American families, particularly when it comes to affordability and homeownership,” stated Defense Credit Union Council Chief Advocacy Officer Jason Stverak. “At the Defense Credit Union Council, we strongly support efforts that expand access to responsible credit, lower costs for consumers, and create sustainable pathways to owning a home—especially for servicemembers, veterans, and their families."
Stverak pointed out defense credit unions see firsthand how rising housing costs, inflation, and financial uncertainty impact military communities.
Jason Stverak
“We appreciate the President’s recognition that affordability is not an abstract policy issue—it is a kitchen-table reality for millions of Americans,” he said. “We stand ready to work with the Administration and Congress on practical solutions that support first-time buyers, strengthen VA home loan programs, and ensure military families have access to fair and affordable mortgage products.
“We also commend the President’s continued and unequivocal support for our military, veterans, and their families,” continued Stverak. “Defense credit unions serve those who serve. Our institutions operate on bases around the world and in communities across this country, providing financial readiness tools, emergency lending, and long-term financial stability for those in uniform. A strong national defense includes a strong financial support system for the men and women who protect our nation."
Stverak emphasized DCUC appreciates that the address did not advance proposals such as a blanket 10% credit card interest rate cap or the Marshall-Durbin interchange expansion.
“While well-intended, such policies would significantly reduce access to credit for higher-risk borrowers, including many young servicemembers, and could disrupt the interchange system that helps community-based financial institutions maintain low-cost services,” he said. “Preserving a balanced regulatory environment ensures credit unions can continue offering lower average rates, fewer fees, and personalized service to their members.”
Stverak also commended Trump for calling on Congress to fully fund the Department of Homeland Security, including the United States Coast Guard.
"The Coast Guard is the only military service housed within DHS, and during funding lapses it becomes uniquely vulnerable," he said. "We have seen too many instances where Coast Guard servicemembers and their families face uncertainty because of delayed appropriations. That is unacceptable for the men and women who safeguard our maritime borders, support national defense operations, conduct search and rescue missions, and protect global commerce. Defense credit unions serve Coast Guard families every day. We witness firsthand the financial strain that uncertainty in federal funding places on junior enlisted members and their households. Stable, predictable funding is not a political issue — it is a readiness issue, a national security issue, and a family stability issue.
"We appreciate the President’s recognition that DHS funding must remain a priority and that the Coast Guard deserves the same financial certainty as every other branch of the Armed Forces. Ensuring uninterrupted pay and operational support strengthens not only the service, but the communities and financial institutions that stand behind them," continued Stverak.
Stverak emphasized that DCUC stands ready to work with the Administration and Congress to ensure Coast Guard members and all servicemembers receive the "stability and respect they have earned.”
Stverak reminded that credit unions are not-for-profit, member-owned financial cooperatives focused on people over profits.
“We look forward to working with the President, his economic team, and lawmakers in both parties to advance policies that strengthen financial readiness, promote responsible lending, expand homeownership, and support the unique needs of America’s military community,” he said. “DCUC remains committed to constructive engagement and to ensuring that the voices of credit unions, and the servicemembers and veterans they serve, are heard in Washington.”
Scott Simpson
ACU Comments On Trump Accounts
America's Credit Unions reacted to the President's comments Tuesday night in support of Trump Accounts.
“America’s Credit Unions supports the President’s desire to increase affordability for working class families across our country," stated Scott Simpson, ACU President/CEO. "Tonight’s address highlighted the importance of expanding access to safe, affordable financial tools that help Americans build stability over time. Proposals like Trump Accounts reflect a growing recognition that long term financial security begins with access to trusted, community-based institutions. Credit unions stand ready to partner in these efforts by helping families save, borrow responsibly, and plan for the future with people-first financial services designed to prioritize their consumer members, not shareholders."
ACU noted that its advocacy team was actively engaged leading up to and during the President's speech to advocate on credit union priorities. Simpson outlined credit union priorities in an op-ed ahead of the speech, and the association launched a nationwide ad campaign to continue to urge opposition to Durbin-Marshall credit card mandates.
While reports leading up to the speech indicated President Trump might outline additional calls for tax reform, those were not included in the State of the Union. America's Credit Unions said it is closely monitoring Administration and congressional efforts to pursue and will continue to relentlessly advocate to preserve the credit union industry's tax status.