Wake Up Tri-Counties Phil Kerpen Talks Changes to Credit Cards at the Federal and Illinois State Level

In this Wake Up Tri-Counties interview, Jennifer Russell speaks with Phil Kirpin, a free market advocate and founder of American Commitment, about growing regulatory threats to credit card systems at both federal and state levels. Kirpin warns that proposed federal caps on credit card interest rates—potentially as low as 10%—could render 75–80% of Americans ineligible for credit cards due to the high risk and lack of profitability at such rates. He argues this would devastate consumer spending and likely trigger a recession. He also highlights the bipartisan danger of such policies, noting that even President Trump’s temporary 1-year cap proposal could become a permanent, expansive regulation, especially with Democratic support. At the state level, Illinois is set to implement a law effective July 1st banning swipe fees on taxes and tips, which could force businesses to process transactions in two separate swipes, creating logistical chaos. Kirpin warns this could undermine rewards programs—critical to airlines, hotels, and retailers—whose profits now rely heavily on credit card partnerships. He stresses that credit card systems, though competitive, are essential to the economy and should not be subject to political interference.