How a Fed increase could affect credit card debt, auto loans
1 year, 7 months ago

How a Fed increase could affect credit card debt, auto loans

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Please enter a valid email address Please enter a valid email address SIGN UP I would like to be emailed about offers, events and updates from The Independent. Rates on credit cards, mortgages and auto loans, which have been surging since the Fed began raising rates last year, all stand to rise even more. The new rate will also increase monthly payments and costs for any consumer who is already paying interest on credit card debt. “Even if this proves to be the final Fed rate hike, interest rates are still high and will remain that way.” WHAT'S HAPPENING WITH CREDIT CARDS? Since the Fed began raising rates in March 2022, the average new-vehicle loan rate has jumped from 4.5% to 7%, according to Edmunds data.

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History of this topic

The Fed expects to cut rates more slowly in 2025. What that could mean for mortgages, debt and more
6 days, 11 hours ago

The Fed expects to cut rates more slowly in 2025. What that could mean for mortgages, debt and more

Associated Press  

NEW YORK — The Federal Reserve’s third interest rate cut of the year will likely have consequences for debt, savings, auto loans, mortgages and other forms of borrowing by consumers and businesses. “Because the upcoming Trump administration’s policies might cause a resurgence in inflation or otherwise throw the economy off balance, the Fed might choose to take a wait-and-see approach …

Why now is a crucial time to pay off credit card debt
10 months, 2 weeks ago

Why now is a crucial time to pay off credit card debt

Associated Press  

NEW YORK — For Americans who lacked savings prior to the pandemic, financial stress is rising. A combination of inflation, increased interest rates, and the end of pandemic-tied relief, such as the moratorium on student loan payments, has led to record credit card debt, experts say. The New York Fed’s report found that 6.4% of credit card debt was delinquent …

The Fed is probably done raising interest rates and could cut them next year
1 year ago

The Fed is probably done raising interest rates and could cut them next year

NPR  

The Fed is probably done raising interest rates and could cut them next year Enlarge this image toggle caption Kevin Dietsch/Getty Images Kevin Dietsch/Getty Images The Federal Reserve signaled it's probably done raising interest rates to curb inflation and the central bank could start cutting rates next year. "We're seeing inflation making real progress," Fed chairman Jerome Powell told reporters …

Fed holds steady on interest rates but hints a further hike could be on the way this year - what does it mean for YOUR pocket?
1 year, 3 months ago

Fed holds steady on interest rates but hints a further hike could be on the way this year - what does it mean for YOUR pocket?

Daily Mail  

The Federal Reserve has held interest rates steady - keeping benchmark borrowing costs between 5.25 and 5.5 percent. The Federal Reserve has held interest rates steady - keeping benchmark borrowing costs between 5.25 and 5.5 percent Chairman Jerome Powell spoke to reporters at a press conference following the announcement While high interest rates are good news for those with money …

The Federal Reserve keeps raising rates. That means it’s harder to get a car loan
1 year, 4 months ago

The Federal Reserve keeps raising rates. That means it’s harder to get a car loan

Associated Press  

NEW YORK — The Federal Reserve’s decision Wednesday to raise its benchmark rate for the 11th time, by a quarter-point, could once again send ripple effects across the economy. “Perhaps the scariest thing of all for folks with credit card debt is that interest rates are actually rising more quickly than the Fed is forcing them to.” The average Annual …

After brief pause, Federal Reserve looks poised to raise interest rates again
1 year, 5 months ago

After brief pause, Federal Reserve looks poised to raise interest rates again

CBS News  

Fed chair expects more rate hikes Fed chair expects more rate hikes amid inflation fight 04:07 The Federal Reserve appears likely to raise its key interest rate next week, with minutes from the central bank's most recent meeting showing some officials wanted to raise rates last month. While the Fed's rate-setting body ultimately skipped hiking rates in June, minutes of …

What you should know as the Fed gets closer to the peak of its rate-hiking cycle
1 year, 6 months ago

What you should know as the Fed gets closer to the peak of its rate-hiking cycle

Associated Press  

NEW YORK — The Federal Reserve’s decision Wednesday to leave interest rates alone for the first time in 11 meetings raises hopes that it may be at least nearing the end of its rate-hiking campaign to cool inflation. “Even once the Fed stops raising interest rates, borrowing rates are still very, very high,” said Greg McBride, Bankrate.com’s chief financial analyst. …

How a Fed increase could affect credit card debt, auto loans
1 year, 7 months ago

How a Fed increase could affect credit card debt, auto loans

Associated Press  

NEW YORK — The Federal Reserve has raised its key interest rate yet again in its drive to cool inflation, a move that will directly affect most Americans. Rates on credit cards, mortgages and auto loans, which have been surging since the Fed began raising rates last year, all stand to rise even more. Economists worry, though, that the Fed’s …

How the Fed's latest rate hike will hit your wallet
1 year, 7 months ago

How the Fed's latest rate hike will hit your wallet

Daily Mail  

The Federal Reserve has raised its key interest rate yet again in its drive to cool inflation, a move that will directly affect many Americans through higher borrowing rates. Rates on credit cards and auto loans, which have been surging since the Fed began raising rates last year, will rise even more, with WalletHub projecting the latest rate hike will …

What the Fed rate increase means for your credit card bill
1 year, 9 months ago

What the Fed rate increase means for your credit card bill

Associated Press  

NEW YORK — The Federal Reserve raised its key rate by another quarter point Wednesday, bringing it to the highest level in 15 years as part of an ongoing effort to ease inflation by making borrowing more expensive. The interest rate increase comes at a time when credit card debt is at record levels. Here’s what the increase means for …

Here’s what the Fed interest rate hike means for you
1 year, 10 months ago

Here’s what the Fed interest rate hike means for you

Associated Press  

NEW YORK — The Federal Reserve raised its key rate by a quarter point Wednesday, bringing it to the highest level in 15 years as part of an ongoing effort to ease inflation by making borrowing more expensive. “It’s already been a really rough year with folks with credit card debt, and it’s only going to get worse,” said credit …

Here’s what the Fed interest rate hike means for you
1 year, 10 months ago

Here’s what the Fed interest rate hike means for you

Associated Press  

NEW YORK — The Federal Reserve raised its key rate by a quarter point Wednesday, bringing it to the highest level in 15 years as part of an ongoing effort to ease inflation by making borrowing more expensive. “It’s already been a really rough year with folks with credit card debt, and it’s only going to get worse,” said credit …

Fed rate hike is smallest in nearly a year. It will still impact your money.
1 year, 10 months ago

Fed rate hike is smallest in nearly a year. It will still impact your money.

CBS News  

What the latest Federal Reserve interest rate hike means for the U.S. economy The Federal Reserve on Wednesday made its eighth consecutive rate hike since March of 2022. Uncertainty abounds "The Fed's interest rate movements may be less or smaller than last year, but that doesn't take away the majority of the uncertainty," said Wei Hu, head of financial research …

How the Fed’s rate hikes could affect your finances
2 years ago

How the Fed’s rate hikes could affect your finances

Associated Press  

NEW YORK — The Federal Reserve’s move Wednesday to raise its key rate by a half-point brought it to a range of 4.25% to 4.5%, the highest level in 14 years. The Fed’s latest increase — its seventh rate hike this year — will make it even costlier for consumers and businesses to borrow for homes, autos and other purchases. …

How The Fed's Interest Rate Hikes Could Affect Your Finances
2 years ago

How The Fed's Interest Rate Hikes Could Affect Your Finances

Huff Post  

NEW YORK — The Federal Reserve’s move Wednesday to raise its key rate by a half-point brought it to a range of 4.25% to 4.5%, the highest level in 14 years. Fed Chair Jerome Powell has acknowledged that aggressively raising interest rates would bring “some pain” for households but that doing so is necessary to crush high inflation. Even before …

Explained: How the Federal Reserve's half-point rate hike will affect American wallets
2 years ago

Explained: How the Federal Reserve's half-point rate hike will affect American wallets

Firstpost  

The effects of the Federal Reserve raising its key interest rate several times this year have been felt by Americans. Those who save will benefit and borrowers can expect to pay more on credit cards, student loans and other forms of debt As the Federal Reserve has lifted its key interest rate several times this year, Americans have seen the …

How steep fed rate hikes affect your finances
2 years, 1 month ago

How steep fed rate hikes affect your finances

Associated Press  

NEW YORK — Mortgage rates continue to jump, home sales slump and credit cards and auto loans increase. As the Federal Reserve steadily increases interest rates, many economists say they fear that a recession remains inevitable in the coming months — and with it, job losses that could cause hardship for households already hurt worst by inflation. Even before the …

What the Fed’s rate hike means for your money
2 years, 3 months ago

What the Fed’s rate hike means for your money

Live Mint  

The Federal Reserve raised rates another 0.75 percentage point Wednesday, as part of its continuing effort to stamp out stubbornly high inflation. Higher interest rates raise the cost of carrying credit-card balances and taking out mortgages, car loans and other debt, but consumers may not immediately feel the effects. “It’s acting like a vice, just tightening more and more.” To …

How steep Fed rate hikes affect your finances
2 years, 3 months ago

How steep Fed rate hikes affect your finances

Associated Press  

NEW YORK — Mortgage rates have jumped, home sales have slumped and credit cards and auto loans have gotten pricier. Even before the Fed’s decision Wednesday, credit card borrowing rates have reached their highest level since 1996, according to Bankrate.com, and these will likely continue to rise. Rates on new auto loans are likely to go up by nearly as …

How the Fed's steep rate hikes stand to affect your finances
2 years, 3 months ago

How the Fed's steep rate hikes stand to affect your finances

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Yet as the Federal Reserve has rapidly increased interest …

US Fed hikes interest rate to highest level since 2008
2 years, 3 months ago

US Fed hikes interest rate to highest level since 2008

Al Jazeera  

Announcement sparks concern that fight to contain sky-high US inflation could tip the economy into a recession. The Fed’s move on Wednesday boosted its benchmark short-term rate, which affects many consumer and business loans, to a range of 3 percent to 3.25 percent, the highest level since early 2008. The central bank’s action followed a government report last week that …

How the Federal Reserve’s rate hikes affect your finances
2 years, 4 months ago

How the Federal Reserve’s rate hikes affect your finances

Associated Press  

WASHINGTON — Higher mortgage rates have sent home sales tumbling. The Fed’s latest hike, its fourth since March, will further magnify borrowing costs for homes, cars and credit cards, though many borrowers may not feel the impact immediately. Rates on home loans have nearly doubled from a year ago to 5.5%, though they’ve leveled off in recent weeks even as …

Fed unleashes another big rate hike in bid to curb inflation; hikes interest rates by 75 basis points
2 years, 4 months ago

Fed unleashes another big rate hike in bid to curb inflation; hikes interest rates by 75 basis points

The Hindu  

The Federal Reserve on Wednesday raised its benchmark interest rate by a hefty three-quarters of a point for a second straight time in its most aggressive drive in three decades to tame high inflation. The Fed’s move will raise its key rate, which affects many consumer and business loans, to a range of 2.25% to 2.5%, its highest level since …

This is how a higher Fed rate could affect your finances
2 years, 6 months ago

This is how a higher Fed rate could affect your finances

Associated Press  

WASHINGTON — Record-low mortgages are long gone. The result is increasingly higher borrowing costs as the Fed fights the most painfully high inflation in four decades and ends a decades-long era of historically low rates. Mortgage rates don’t necessarily move up in tandem with the Fed’s rate increases. For users of credit cards, home equity lines of credit and other …

With a big rate hike, the Fed hopes to slow, but not stifle, the economy
2 years, 6 months ago

With a big rate hike, the Fed hopes to slow, but not stifle, the economy

LA Times  

Just a month ago, the Federal Reserve raised interest rates by half a percentage point for the first time in 22 years as it stepped up its attack on accelerating inflation. “Broadly, they want to raise rates fast enough and high enough to slow the economy’s growth and quell inflation but not too far, too fast so it pushes the …

The Fed Issued Its Biggest Rate Hike In 22 Years. Here's How That Will Affect Your Finances
2 years, 7 months ago

The Fed Issued Its Biggest Rate Hike In 22 Years. Here's How That Will Affect Your Finances

Huff Post  

Record-low mortgages below 3% are long gone. But additional large hikes are expected to be announced at the Fed’s next two meetings, in June and July, and economists and investors foresee the fastest pace of rate increases since 1989. The result could be much higher borrowing costs for households well into the future as the Fed fights the most painfully …

How higher Fed rates stand to affect Americans’ finances
2 years, 7 months ago

How higher Fed rates stand to affect Americans’ finances

Associated Press  

WASHINGTON — Record-low mortgages below 3% are long gone. But additional large hikes are expected to be announced at the Fed’s next two meetings, in June and July, and economists and investors foresee the fastest pace of rate increases since 1989. The result could be much higher borrowing costs for households well into the future as the Fed fights the …

How higher Fed rates stand to affect Americans' finances
2 years, 7 months ago

How higher Fed rates stand to affect Americans' finances

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. The result could be much higher borrowing costs for …

US Federal Reserve raises key interest rate by half a percentage point, its biggest hike since 2000
2 years, 7 months ago

US Federal Reserve raises key interest rate by half a percentage point, its biggest hike since 2000

India TV News  

Highlights The Federal Reserve intensified its fight against the worst inflation in 40 years. The Federal Reserve intensified its fight against the worst inflation in 40 years by raising its benchmark short-term interest rate by a half-percentage point Wednesday — its most aggressive move since 2000 — and signaling further large rate hikes to come. The increase in the Fed’s …

Fed raises key rate by a half-point in bid to tame inflation
2 years, 7 months ago

Fed raises key rate by a half-point in bid to tame inflation

The Hindu  

The United States Federal Reserve intensified its fight against the country’s worst inflation in 40 years by raising its benchmark short-term interest rate by a half-percentage point Wednesday — its most aggressive move since 2000 — and signalling further large rate hikes to come. The increase in the Fed's key rate raised it to a range of 0.75% to 1%, …

Here’s how higher rates will impact you
2 years, 7 months ago

Here’s how higher rates will impact you

CNN  

Editor’s Note: This is an updated version of a story that ran on March 17, 2022. High inflation – consumer prices rose in May at the fastest pace in 40 years – will likely force the Fed to raise interest rates several more times in the coming months. Still, the impact to borrowing costs in coming months will depend chiefly …

Americans will feel the impact as Fed raises rates. Here's what you should know
2 years, 9 months ago

Americans will feel the impact as Fed raises rates. Here's what you should know

NPR  

Americans will feel the impact as Fed raises rates. Sponsor Message "It starts to push it from, like, 'we could maybe make it work' to the point where you're just like, 'it's not worth it,' " says Zach Gubran of Fort Collins, Colorado. "Higher mortgage rates may be helpful in cooling the housing market," says Selma Hepp, an economist with …

EXPLAINED: How Higher Interest Rates Will Affect Americans' Finances
2 years, 9 months ago

EXPLAINED: How Higher Interest Rates Will Affect Americans' Finances

News 18  

Americans who have long enjoyed the benefits of historically low interest rates will have to adapt to a very different environment as the Federal Reserve embarks on what’s likely to be a prolonged period of rate hikes to fight inflation. Still, mortgage rates don’t necessarily rise in tandem with the Fed’s rate increases. Those who don’t qualify for low-rate credit …

Fed begins inflation fight with key rate hike, more to come
2 years, 9 months ago

Fed begins inflation fight with key rate hike, more to come

Associated Press  

WASHINGTON — The Federal Reserve launched a high-risk effort Wednesday to tame the worst inflation since the early 1980s, raising its benchmark short-term interest rate and signaling up to six additional rate hikes this year. The projections showed that seven of the central bank’s 16 policymakers favor at least one half-point rate hike this year, suggesting that such a large …

How Fed hikes could affect mortgages, car loans, card rates
2 years, 10 months ago

How Fed hikes could affect mortgages, car loans, card rates

Associated Press  

WASHINGTON — Will mortgage rates go up? Mortgage rates don’t usually rise in tandem with the Fed’s rate increases. And with numerous Fed rate hikes expected, the rate on the 10-year note could rise over time — and so, by extension, would mortgage rates. Those who don’t qualify for such low-rate credit card offers might be stuck paying higher interest …

Why the Fed feels now is time to tighten credit more quickly
3 years ago

Why the Fed feels now is time to tighten credit more quickly

Associated Press  

WASHINGTON — For months, Federal Reserve Chair Jerome Powell responded to surging inflation by counseling patience and stressing that the Fed wanted to see unemployment return to near-pre-pandemic levels before it would raise interest rates. But he said “rapid progress” had been made toward the Fed’s target of “maximum employment.” And if inflation is still running high next year, he …

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