Delta Air CEO says Trump credit card cap will upend industry

President Donald Trump’s push to cap credit card interest rates at 10% would hurt banks and lower-end consumers, Delta Air Lines Inc. Chief Executive Officer Ed Bastian said.

“The knock on effects are pretty significant when you think about what seems to be a good idea to help lower income strata and bring some interest-rate relief,” Bastian said in a Wednesday interview on Bloomberg Television.

“The reality is, it will eliminate their ability for credit and freeze up tremendous amounts of credit lines that the banks will not be able to afford.”

Trump earlier this week doubled down on his demand that card issuers lower interest rates to 10% and keep them there for one year. He set a Jan. 20 deadline for compliance, saying that lenders would be “in violation of the law” if they don’t cooperate by then.

Airline loyalty programs, which include co-branded credit cards, are a crucial source of revenue for carriers.

Atlanta-based Delta works with American Express Co., “so that’s not an income level that we’re focused on in our business,” Bastian added.

Card interest rates, which have been hovering above 20% in recent years, have been a target of U.S. lawmakers on both sides of the aisle, with bills proposing similar caps and meeting stiff resistance from the industry.

Demand from high-spending consumers continues to be strong, and 2026 kicked off with double-digit growth in business travel, Bastian said. Still, Delta shares fell on Tuesday after management offered a cautious outlook for 2026 following a bruising past year.

Delta Air Lines fell 1.1% in U.S. premarket trading to $68.60 after closing down 2.4% on Tuesday.

Delta has touted its premium products in the cabin and on the ground as it seeks to differentiate itself from budget carriers and appeal to well-heeled flyers.