Fintech company Bilt said Wednesday that its new credit cards will include an introductory interest rate on card balances of 10% for one year, as the debate over credit-card affordability has intensified in U.S. politics.
The AP reported that President Donald Trump, who has embraced a populist idea of capping credit card interest rates for one year, announced last week that he was seeking a one-year cap at 10%. Bilt’s decision came as that rhetoric continued, with lawmakers and public figures on the left also backing rate caps.
Bilt CEO Ankur Jain said the company was deciding to cap its credit-card interest rates for one year to meet what he described as a “bipartisan call for a solution” on affordability. In an interview, Jain also said the firm wanted to be positioned early if a credit-card rate cap were adopted, adding: “If (a credit card rate cap) is going to happen, we’d rather be at the forefront.”
The 10% rate, Bilt said, would apply as an introductory annual percentage rate on new eligible purchases for the first 12 months for cardholders approved for one of its three new cards. After that period, AP reported that purchases, balance transfers and cash advances would carry APRs that can run well above 20%, similar to other rewards cards.
AP reported that the credit card industry has long pushed back against caps on interest rates, noting that the average credit card interest rate has hovered around 21%. The story said the proposal has faced its most serious challenge yet with Trump, and that researchers at Vanderbilt University estimated the policy would cost the credit card industry $100 billion.
AP also said that left-leaning politicians including Rep. Alexandria Ocasio-Cortez and Vermont Sen. Bernie Sanders have long embraced capping credit card rates. In the AP’s framing, Bilt’s announcement is effectively a promotional offer—similar to other industry marketing strategies such as zero percent APR deals or balance-transfer promotions—rather than a universal industrywide cap.
Bilt unveiled the new cards at the World Trade Center on Wednesday and said the lineup follows a “good, better, best” model, built around a points program called Bilt Cash that converts into cash back within the Bilt ecosystem. The company said that points can be used through merchants that signed up with Bilt to help attract customers locally.
At the top end, AP reported that the Bilt Palladium Card carries a $495 annual fee and provides $400 in annual credits toward hotel stays, along with $200 in Bilt Cash. The middle tier, the Bilt Obsidian Card, carries a $95 annual fee and emphasizes rewards accumulation for dining out and grocery purchases, while the basic card, the Bilt Blue Card, has no annual fee but offers cash back and points accumulation at lower multiples.
AP said Bilt is also trying to move beyond what it described as its “credit card for renters” identity, focusing instead on being a financial liaison between local merchants, landlords and renters. The story reported that Bilt previously partnered with Wells Fargo on its credit card program and that the partnership is coming to an end in February.
The AP report further said the Wells Fargo relationship appeared to have ended early, citing a Wall Street Journal report that Wells Fargo lost $10 million a month on the Bilt credit card and chose to end its partnership several years before it was supposed to expire in 2029. The AP also reported that the new card would be issued in partnership with Cardless, with Column N.A. as the issuing bank.