Subscribe

More than likely you're thinking of how inflation is impacting you at the grocery store, your energy bill, how much you're paying at the pump apparently things you can't  get around unless you walk, live in a tent, and eat off the trees. However there's  the other aspect of inflation you must consider most of us finance our homes, cars, and education. When the Federal Reserve raises the interest rates at the benchmark level this also increases consumer loans such as mortgages and auto loans. If  you already have a home ,and car and if  you haven't done so you should have refinanced into a fixed lower rate and avoided any variable rates. Now if you're in the market for a new home or car this is the time to sit it out because the rates are going to significantly increase the payments. If you have credit card balance which are mostly variable you should consider paying them down significantly, but not completely because any time you pay a credit card off completely  your credit score drops for some reason.

In addition consider transfering some money from the standard savings account to CD or Money market because rates on CD and Money Market accunts are rising significanly.

cd