Average mortgage payments will spike by more than $200 and buying a car or carrying a credit card balance will also hit you in the pocket – but savings accounts could offer returns of 2.4%
- The Federal Reserve pushed interest rates up by another 0.75 percentage points on Wednesday, the fourth-consecutive time this year after American’s enjoyed rates at nearly 0 percent throughout the pandemicÂ
- The rate hike is expected to cause interest rates on mortgages, credit cards and all types of loans to go up, causing monthly bill payments to soar and hurting American’s ability to repay their debtsÂ
- While interest on savings will also see a small increase as high as 2.4 percent, it would do little to relieve consumers amid the rise in cost of living, which remains high at 8.2 percent
- The Fed is projected to implement another hike in December to reach a benchmark of 4.6 percent