Rising rates have made it increasingly difficult for Americans to check off major life milestones like purchasing a car, starting a business, and becoming homeowners. While the Fed has begun to implement smaller rate increases, they haven’t hit pause on rate hikes just yet.
Today, the Federal Open Market Committee (FOMC) announced the first interest rate increase of 2023—a 25 basis point increase (the smallest increase since March 2022). Despite this being a smaller increase than past Fed increases and mortgage rates trending downward since November 2022, this move will likely usher in interest rate increases on several lending products, including credit cards, auto loans, and mortgages—even if only minimal ones.
