If you’ve been watching the financial market lately, you’ve undoubtedly noticed that the Federal Reserve has raised the interest rate on federal funds once again. It’s now at 1.75% to 2.00% and they’ve signaled that there are two more interest rate increases coming this year.
But, what does that mean to you? And how will it affect your finances? Even though you may not think so, this rate increase will most certainly hit your pocketbook in less than 30 days, and the next two rate hikes? You will feel those almost immediately, too.
So, if you’re planning to buy a home, refinance the car, or take out a personal loan to pay off those credit cards, there is no time to waste. Interest rates on that new home, car, or personal loan will almost certainly go up immediately, as will the rate on those credit cards that you’re paying on every month.
Personally, we’re looking at taking out a personal loan to pay off the credit cards, to save money on the credit card interest and pay them all off sooner, so we will do this sooner rather than later, as that extra .25% will affect both the personal loan rate AND the interest rate on the credit cards. Plus, with two more increases expected this year, NOW is the time to lock in that fixed rate, regardless of what you’re planning to buy.
What about you? Think a personal loan might be the right choice for you? Take a look at these offers: