Iowa House rejects 10% credit-card cap but approves bill aligning consumer-loan rules

A proposed floor amendment (H8199) to cap credit-card interest rates at 10 percent failed in a recorded roll-call (28–63) during consideration of HF2329, a bill intended to align Iowa’s regulated loan interest and fee rules with neighboring states and federal standards.

Representative Zabner/Johnson (S17) moved the interest-cap amendment and framed it as a consumer-protection measure, citing national levels of outstanding consumer credit. Several members questioned germane rules and procedure; the motion to suspend rules for a record roll-call was made and the amendment failed. Later amendments to align the House bill with the Senate version passed (H8196), and HF2329 passed on final reading with recorded votes (62–29).

Floor debate highlighted concerns about affordability and whether the bill would increase costs for Iowans; supporters said aligning rules would allow Iowans access to credit products available elsewhere. The final bill will be sent to the Senate.