Feds Raise Interest Rates Again



Federal Reserve June rate hike: prime lending rate, loans, credit card

Bernanke

  • The Federal Reserve hiked interest rates to a range between 1.75% and 2% on Wednesday.
  • In response, banks across the US began raising their prime lending rate to 5% from 4.75%.
  • This will affect the rates for credit cards and other nonmortgage loans.

The Federal Reserve on Wednesday lifted its fed funds rate by 25 basis points to a range between 1.75% and 2%, also signaling that two more hikes were expected this year.

While investors and economists spend the next few days deciphering Fed Chairman Jerome Powell's decision to hold a press conference after every meeting and what the projected path of future hikes means for the economy, the latest hike will hit your wallet almost immediately.

Most simply, the fed funds rate determines the interest rate at which banks borrow short-term money.

Increases are passed on to other borrowers, mostly consumers, through higher rates on things like credit-card debt.

This debt is based on the banks' prime loan rate, the interest rate used as a starting point for nonmortgage loans.

The Fed's decision to raise the fed funds rate had an immediate impact on these rates Wednesday, sending them to 5% from 4.75%, mirroring the magnitude of the Fed's increase.

And so after what seemed like an arcane and abstract policy change from the Fed on Wednesday, this is the impact that may matter most to those who don't follow the news as closely as they follow their credit-card bill.






Video: Federal Reserve Leaves Key Rate Unchanged

Federal Reserve June rate hike: prime lending rate, loans, credit card
Federal Reserve June rate hike: prime lending rate, loans, credit card images

2019 year
2019 year - Federal Reserve June rate hike: prime lending rate, loans, credit card pictures

Federal Reserve June rate hike: prime lending rate, loans, credit card recommendations
Federal Reserve June rate hike: prime lending rate, loans, credit card forecast photo

Federal Reserve June rate hike: prime lending rate, loans, credit card picture
Federal Reserve June rate hike: prime lending rate, loans, credit card images

Federal Reserve June rate hike: prime lending rate, loans, credit card Federal Reserve June rate hike: prime lending rate, loans, credit card new images
Federal Reserve June rate hike: prime lending rate, loans, credit card new pictures

picture Federal Reserve June rate hike: prime lending rate, loans, credit card
photo Federal Reserve June rate hike: prime lending rate, loans, credit card

Watch Federal Reserve June rate hike: prime lending rate, loans, credit card video
Watch Federal Reserve June rate hike: prime lending rate, loans, credit card video

Forum on this topic: Federal Reserve June rate hike: prime lending , federal-reserve-june-rate-hike-prime-lending/
Forum on this topic: Federal Reserve June rate hike: prime lending , federal-reserve-june-rate-hike-prime-lending/ , federal-reserve-june-rate-hike-prime-lending/

Related News


How to Deal with a Wifes Heart Attack
Darwin Brasserie, City of London
Seville Orange Cheesecake Recipe
8 Women Who’ve Tried Anal Sex Describe What It’s Actually Like
How to Let Go of Anger Without Hurting People
He Was Overweight and Fighting For His Life. Now He Trains Victoria’s Secret Models
Ask an Expert: How Do I Nourish My FrizzyHair
Take a look inside Clarence House, the London residence Charles and Camilla call home
How to Get More Done on Days when Youre Not Focused
Sisterhood of the Walking Shoe
I use the ToteSavy diaper bag insert as a purse organizer
Birth rates decline as home values increase in US cities
How to Practice Good Hand Hygiene
Alcohol Targets Brain Reward Centers in Heavy Drinkers



Date: 16.12.2018, 02:57 / Views: 63294