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How Interest Rate Changes Affect Your Finances

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          🞛 This publication is a summary or evaluation of another publication 🞛 This publication contains editorial commentary or bias from the source
While the Fed declined to change interest rates in their last meeting, interest rates have a big impact on your money - see how it could affect it in the future.
The article by Jim Wang on Forbes, dated May 8, 2025, discusses how changes in interest rates impact personal finances. It explains that when interest rates rise, borrowing costs increase, affecting loans like mortgages, car loans, and credit card debt, making them more expensive. Conversely, higher interest rates can benefit savers as they earn more from savings accounts and fixed-income investments. The article also notes that lower interest rates make borrowing cheaper, which can stimulate spending and investment but reduces returns on savings. Wang advises readers to consider these effects when planning their financial strategies, such as locking in lower rates for long-term loans or adjusting investment portfolios to take advantage of rate changes.

Read the Full Forbes Article at:
[ https://www.forbes.com/sites/jimwang/2025/05/08/how-interest-rate-changes-affect-your-finances/ ]