With a move to raise the federal funds rate Wednesday, newly appointed Jerome Powell notched his first interest rate increase as Federal Reserve chairman. For the rest of us, the sixth consecutive hike is also significant for changing the terms by which you borrow money and access credit.
With the Fed's latest increase of 25 basis points in the federal funds rate, "the cumulative effect is mounting," said Greg McBride, Bankrate.com's chief financial analyst.
While rising rates help savers, the escalating cost of debt puts pressure on them too. For starters, credit card rates have never been higher, according to Bankrate.
If you're concerned about what this will mean for your own bank account, mortgage loan or credit card — as well as student debt, home equity loan and car payment — here's a breakdown of what could happen.