Protecting Consumers from Unreasonable Credit Rates Act of 2025

# Protecting Consumers from Unreasonable Credit Rates Act of 2025 (S 2781) **What the Bill Would Do** This bill would establish a federal cap on interest rates that lenders can charge consumers for credit products like personal loans, credit cards, and other consumer debt. The specific rate cap is not detailed in the available information, but the bill's purpose is to prevent lenders from charging what sponsors consider "unreasonable" interest rates. **Who It Affects and Key Details** The bill would primarily affect consumers who borrow money and the lending industry. By capping interest rates at the federal level, it aims to protect borrowers from extremely high rates, particularly those with lower credit scores who typically face higher costs.

The legislation would create uniform rules across all states, overriding varying state-level interest rate regulations currently in place. **Current Status** As of now, the bill is in committee, meaning it has not yet advanced to a full Senate vote. It was introduced by Senator Richard Durbin (D-IL) in the 119th Congress. The bill remains in the early stages of the legislative process and would require committee review, debate, and votes before it could potentially become law.