Klarna CEO Endorses Trump’s Magical 10% Interest Fairy Tale for One Year

KEY POINTS

•Klarna CEO Sebastian Siemiatkowski supported President Trump's January 2026 plan to cap credit card interest at 10% for one year.
•Siemiatkowski called traditional credit cards exploitative for lower-income borrowers and criticized rewards programs benefiting wealthy customers.
•The announcement caused a sell-off in major financial stocks, while some experts warned it might reduce credit availability.

In a move almost as surprising as a politician praising something sensible, Klarna CEO Sebastian Siemiatkowski endorsed Donald Trump’s proposal to cap US credit card interest rates at 10% for just one year, as of January 2026. Sebastian bemoaned traditional credit cards forcing lower-income folks into a debt whirlpool, calling it ’capitalism with a side of anarchy.’ Klarna, famous for letting users buy stuff and pay later without interest, boasts real-time purchase approvals based on current spending—because who trusts ancient income data? Meanwhile, Sebastian roasted credit card rewards as a wealth redistribution scheme, where non-cardholders unknowingly subsidize the pampered rewards club through higher prices. Trump’s weekend pronouncement sent giants like Capital One, JPMorgan, and Citigroup fleeing stock-market panic. UBS and Goldman Sachs promptly warned a 10% cap might just have lenders clutching their pearls and cutting credit, making loans scarcer but apparently more classy. SoFi’s CEO chimed in, predicting a consumer stampede from credit cards to personal loans, proving once again that financial upheaval always creates winners eager to swipe new products. All this drama unfolds while Sebastian laments the ’effective income redistribution program’ that rewards affluent shoppers buying plane tickets with points gathered from the backs of everyday Americans—because nothing says fairness like a free flight for the wealthiest.

Share the Story

(1 of 3)

Mockingbird News

@MockingbirdNews · now

Klarna’s CEO praises Trump’s 10% credit card interest cap, sparking Wall Street tantrums and handing a gift to personal loan sharks everywhere. Spoiler: capitalism just called it ’anarchy,’ but only for your wallet.

232/280 charactersReady to post