What The Elle - 💸 All About Interest Rates

This week’s money mood: interest rates 📈

Yesterday, after a full two years and one day of keeping them at 0% (because of the COVID-19 pandemic), the Federal Reserve raised interest rates to 0.25%. And they expect to do it again as many as six more times in 2022. The goal is to help throttle inflation, which is currently at record highs.

Since this is the first time the Fed has raised rates (instead of lowering them or keeping them steady) in three years, it makes sense if your interest-rates-knowledge is a little rusty. So this week, we’ve got the deets on what you need to know.

Until next week,

Deedi Brown, she/her
Senior Editor

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What people mean when they talk about “interest rates”

Usually, they’re talking about the target federal funds rate, aka the fed funds rate, aka “short-term interest rates.” Here’s what that means, how it all works, and how it affects your wallet.

READ IT >

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Our best advice on paying off credit cards

One smart thing to do as interest rates rise (well, really, all the time): pay off your credit cards ASAP. Here’s how.

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A guide for new homebuyers

Trying to lock in a mortgage rate just in case rates increase even more? Here’s a deep-dive on the process.

GET THE INFO >

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“The Fed Is Increasing Interest Rates. What Does it Mean for Me?”

We asked Sallie. Here’s how she explains things.

WATCH IT >

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