VISA shares plunge 4.46% as regulatory pressures mount over Credit Card Competition Act

Visa shares plunged 4.46% in pre-market trading on January 14, 2026, amid escalating regulatory pressures from proposed U.S. policy changes targeting credit card industry practices. The decline follows renewed political scrutiny from President Donald Trump, who has intensified calls for legislative action against swipe fees and interest rate caps.

Trump’s endorsement of the bipartisan Credit Card Competition Act has heightened market concerns. The proposed legislation aims to limit interchange fees collected by payment processors and mandate that large banks offer alternative payment networks for merchants. This could disrupt Visa’s revenue model by reducing its dominance in the two-party network system and fostering greater competition in the sector.

Investors are also reacting to Trump’s recent assertion that credit card lenders would face legal violations if they fail to cap interest rates at 10%. While the policy’s economic impact remains debated, financial institutions and payment networks have signaled potential risks to profitability. Analysts note that regulatory shifts could force Visa to adapt its fee structures, potentially squeezing margins in its core merchant services business.

Market sentiment has been further pressured by warnings from banking executives, including JPMorgan’s leadership, who argue such reforms could reduce credit availability and harm consumers. With the Federal Reserve expected to issue related regulations within a year, uncertainty over the Act’s implementation continues to weigh on investor confidence in the payment processing sector.