Banks Face Technology Crisis From Rate Cap

Donald Trump's recent proposal for a 10% credit-card interest-rate cap prompted warnings from JPMorgan Chase CEO Jamie Dimon and Bank of America CEO Brian Moynihan about economic disruption. Nitin Seth (Incedo) argues the cap would break legacy risk-pricing systems, potentially reduce roughly $100 billion in interest income, and force banks to adopt AI-native 'Precision Banking'—cash-flow underwriting, predictive collections, and backend automation—to preserve credit access and margins.