Bank of America expects further economic growth this year. – Michael Bucher/WSJ
American consumers continued to spend and borrow at a healthy clip at the end of 2025, despite a year marked by uncertainty around job security, tariffs and stubborn inflation.
JPMorgan Chase, Bank of America, Citigroup and Wells Fargo this week collectively reported $28.5 billion in profits for the fourth quarter. That amounted to $123.2 billion for the full year, up nearly 5% from 2024.
“All of the metrics that we can see tell us the consumer remains resilient and in great shape,” Bank of America Chief Financial Officer Alastair Borthwick said on a call with reporters.
Borthwick said the bank isn’t seeing signs people are borrowing significantly more, or saving less. Citigroup’s CFO said he isn’t seeing a lot of disparity across income brackets on credit-card delinquencies.
As Americans continue to contend with elevated interest rates and prices, the Trump administration kicked off 2026 with a supercharged push to reach voters on affordability ahead of midterms. Over the weekend, President Trump rattled the financial industry with a call to limit credit-card rates to 10% for one year, though it isn’t clear how he would put such a policy in place.
Banks expressed support for the Trump administration’s affordability efforts, but warned that such a cap would make it harder for consumers to access credit, especially those with lower incomes and credit scores.
“An interest-rate cap is not something that we would or could support,” said Mark Mason, Citigroup’s chief financial officer, on a call with reporters. He said it would “restrict access to credit to those who need it the most, and frankly, would have a deleterious impact on the economy.”
Wells Fargo CFO Mike Santomassimo said it would “have a negative impact on economic growth.” On Tuesday, JPMorgan’s Jamie Dimon said “if it happened the way it was described, it would be dramatic.”
JPMorgan, Bank of America and Citigroup said spending on cards rose in the fourth quarter, while delinquencies on credit cards edged lower. Bank stocks were down Wednesday, falling more than the broader market, with Bank of America, Citigroup and Wells Fargo all sliding more than 4% in afternoon trading.
The Trump administration has focused much of its recent campaign on home affordability, increasingly a political flashpoint.