At Hearing, Warren Slams Trump’s Failed Economic Agenda, Urges Congress to Continue Addressing American Affordability Crisis

At Hearing, Warren Slams Trump's Failed Economic Agenda, Urges Congress to Continue Addressing American Affordability Crisis

Warren highlights Trump's failure to cap credit card interest rates that would save families billions

Warren: "Our housing bill is an affordability accomplishment that everyone on this committee can all be proud of. But it is not nearly enough to offset the economic policies of President Trump-and the devastating impacts they have had on American families."

Watch hearing here (YouTube)

Washington, D.C. - Today, U.S. Senator Elizabeth Warren (D-Mass.), Ranking Member of the Senate Banking, Housing and Urban Affairs Committee, delivered opening remarks at a Committee hearing on affordability about the impact of Trump's tariffs on American consumers, the rising cost of energy and utilities caused by Trump's illegal war with Iran, and Trump's corrupt business dealings on American families.

Ranking Member Warren used the exchange with witnesses to call out President Trump's failed economic agenda and his failure to lower credit card interest rates.

Transcript of Ranking Member Warren's opening statementbelow:

Thank you, Mr. Chairman. I want to thank you for holding today's hearing on affordability. It's only Tuesday and our Committee's already had a big week.

Yesterday, the Senate passed our 21st Century Road to Housing Act, and now the House is on its way to passing it too. This is the biggest housing bill in more than 30 years. It will help build more housing, bring down costs, and for the first time ever, stop private equity from snapping up homes that families are trying to buy. And, your leadership helped make that happen.

Our housing bill is an affordability accomplishment that everyone on this committee can all be proud of. But it is not nearly enough to offset the economic policies of President Trump-and the devastating impacts they have had on American families.

So, let's set a baseline: when Trump took office, inflation was down to 3% and heading down.

The first thing he did was slap tariffs on nearly every item from nearly every country. These tariffs will cost the average American household more than $2,500 this year. Now, the Supreme Court struck down these tariffs down as illegal-and the Administration still hasn't lifted a finger to give consumers a refund for the very high prices they paid.

Then came Trump's illegal war with Iran, which caused energy prices to skyrocket. The impact of the war continues to jack up costs for every single sector of our economy. Families have spent $43 billion more on gasoline alone than they would have if Trump had never started this war.

Trump spent billions to cut renewable energy projects-you know, the kind that would lower utility costs. And Trump and Republicans have sent health insurance premiums soaring, with next year's premium hikes already on track to rival last year's record-breaking increases.

In between these disastrous policies, it has been non-stop Trumpian extravaganza of corruption and incompetence.

Anti-consumer mergers that drive up costs for everything from cable T.V. to credit cards get rubber-stamped under the shadiest possible circumstances.

The CFPB, which has returned more than $21 billion directly to families that have been scammed, has been hollowed out and sidelined.

DOGE fired the USDA team responsible for preventing screw-worm-and now an outbreak threatens to bankrupt ranchers and send already high beef prices through the roof.

And one white-collar criminal after another gets DOJ dismissal or a Trump pardon, sending a clear message that it is OK for wealthy insiders to rip off families and consumers.

And what's the result?

Inflation now sits at its highest level in three years-4.2%, nearly double what it was last year. Americans are paying more for groceries, for health care, for gas. The Federal Reserve is forecasting higher inflation, higher interest rates, and slower growth.

And the American people can see plain as day that as the economy gets worse, Trump gets more chaotic. Trump focuses on building his golf course and his giant ceremonial arch-getting the right marble for his tax-payer funded gold-encrusted ballroom with no thought to the rising costs that are bearing down on Americans.

The same guy who ran for office saying he would tackle inflation on day one now calls affordability a "hoax" and a"made-up word." He says "I don't think about Americans' financial situation." He says that he "loves the inflation."

Trump doesn't care about hard-working Americans. He cares about making himself richer by cutting crypto deals and making thousands of stock transactions with companies whose value he can boost with deregulatory policies or giant government contracts.

Trump's billionaire friends are along for the ride, they're getting richer by the hour, while American families are stuck with the bill. The world just got its first trillionaire, and the Trump family's wealth is up by at least $2.3 billion since just last year-and meanwhile, Americans' real wages since Trump was sworn into office 18 months ago have fallen.

Mr. Chairman, I'm glad that we are having this affordability hearing today. It is a stark reminder of the President's failures. Americans want Washington to make affordability our first priority. And, instead, all Trump is offering are higher prices, more chaos, and unprecedented corruption.

I look forward to our conversation today.

Transcript of Ranking Member Warren's exchangewith the witnesses as delivered:

Sen. Warren: Thank you, Mr. Chairman. I am really glad that we are holding a hearing about President Trump's affordability agenda. And I am glad that my Republican colleagues don't seem to agree with President Trump's claim last week that "affordability is a fake word made up by Democrats."

In fact, I want to ask our witnesses about that.

So, raise your hand if you agree with the President that affordability is a hoax made up by Democrats. I'm giving you time here.

Okay, no hands up, and I assume that means none of you- Democrats or Republicans-agree with President Trump that the affordability crisis facing American families is a hoax. And, that seems right to me.

President Trump's agenda has driven up costs, so families are putting more of everything from groceries to gas on their credit cards. Trump's own top economic adviser Kevin Hassett recently bragged that "credit card spending is through the roof." He's right: over 100 million Americans have credit card debt now, many putting groceries and gas on their credit cards just to be able to make it to the end of the month. And delinquencies are at their highest level since the crash of 2008.

So let's talk affordability. In January, President Trump promised to cap credit card interest rates. He politely asked the biggest banks to put in place a one-year, 10% cap by January 20th.

Now, Ms. Johnson, your organization represents some of the biggest banks in the country. We are more than 5 months past Trump's January 20th deadline. Which banks have implemented the one-year, 10% cap on credit card interest rates that President Trump promised to deliver?

Ms. Johnson: So thank you for the question, there's a couple of things I'd love to say. One, banks offer 0% APRs today.

Sen. Warren: I'm sorry. I had a specific question. Donald Trump told the banks that they should lower their credit card interest rates to 10% by January 20th. He said that's what he would deliver for the American people, promised it to everyone in America. And I just want, which banks have actually lowered their credit card interest rates to 10%. Can you give me their names?

Ms. Johnson: There are definitely options that are low-cost APR options -

Sen. Warren: I'm sorry. Which banks have lowered their credit card interest rate to 10%. Are there any that are at 10%? Can you name one?

Ms. Johnson: I can tell you that there are options today, but they don't have a cap -

Sen. Warren: Can you name one bank that has lowered its credit card interest rate as President Trump politely asked?

Ms. Johnson: No bank wants to cut off credit to people with -

Sen. Warren: Has there been one? Has there been one? Has there been one? One?

Ms. Johnson: There are options in the marketplace for sure, but -

Sen. Warren: So, not a single one has followed through on what President Trump told them to do. So, President Trump and big banks they don't provide the 10% cap on credit cards. Ms. Johnson, how much more have Americans have paid in interest on credit cards then they would have paid if the cap the President promised this cap would take effect? What's the number?

Ms. Johnson: So again, I want to go back to credit card -

Sen. Warren: What's the number?

Ms. Johnson: So, we have not done that calculation.

Sen. Warren: I'll bet you haven't done that calculation. But here's the thing, I have. It's $57 billion in credit card interest rate above 10% that Americans have paid since January 20th. By the way, if you just do the math, that's $368 million a day. Now, President Trump promised he was going to make banks lower credit card interest rates for families by January 20, and so far families have paid $368 million a day for Trump's broken promise.

Now, we know that families have less money to spend and are falling behind on their bills thanks to Donald Trump's economic policies. Dr. Morgan, if you can tell me very briefly, how are people coping with these tighter finances and higher prices?

Dr. Morgan: I mean families are really struggling. As I said earlier, you know, one in three are skipping meals, they're skipping medications that are prescribed by their doctors, they're skimping on healthcare services, and they're turning to debt. I think it's important to note that it's a both/and, right. We're seeing people both cut back on the things they need to live their lives, and also put their expenses onto high cost debt. Both credit cards; buy now, pay later; paycheck advance loans.

Sen. Warren: You know, President Trump may love inflation, but it's killing American families. Congress needs to work together to fix the President's failed economic agenda and to make life more affordable for all Americans.

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