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Respected Contributor
Posts: 3,059
Registered: ‎03-16-2010

@ValuSkr wrote:

We hope Janet Yellen knows what she's doing.


It's the Federal Reserve Chair Jerome Powell and the board of governers that set rates. Yellen is sec of treasury

Honored Contributor
Posts: 10,867
Registered: ‎03-10-2010

I am enjoying the higher interest on savings, CD's and T bills. Omg I got T bills for 5% I think.  It makes a difference I was tired of getting a few cents a month on accts and the stock market and most investments are not good right now, especially for us older people who don't have time to recover,  I can barely recover from a paper cut  quickly. Lol

Esteemed Contributor
Posts: 5,935
Registered: ‎07-26-2019

Many banks are offering higher CD rates to bring in more new customers with cash .

 

Further bad news will come when retirement saving accounts 401K's will be investing money into stocks that will likely not earn as much as  portfolio's in the past . Along with  others banks that may  crumble .

Esteemed Contributor
Posts: 5,935
Registered: ‎07-26-2019

 By  the fall of 1981  the home mortgage rates were as high as 18% . I do remember !

We refinanced  as soon as the rates had dropped  down as the economy improved and we were  coming out of the recession. Many people who did not live through those times better be prepared  for rough financial times .

 

Trusted Contributor
Posts: 1,938
Registered: ‎05-09-2014

Re: Fed Hikes rates....

[ Edited ]

@Still Raining wrote:

I still remember about 1980 or so, wow.  Now I know why old folks say kids are spoiled.  Anyone else remember the mortgage rates?


I bought my house in 1983. The mortgage was a 30 year-fixed rate at 14.75%. I refinanced every time rates dropped to my advantage. That turned out to be 3 times. By the time my mortgage was satisfied, I was paying 4%. 

These quarter-point raises will quiet the home sales action some, but they will overall give better control over inflation. 

Whatever goes up, does come down. Mortgage rates aren't necessarily forever. 

 

Respected Contributor
Posts: 2,213
Registered: ‎09-18-2010

Re: Fed Hikes rates....

[ Edited ]

@Still Raining wrote:

I still remember about 1980 or so, wow.  Now I know why old folks say kids are spoiled.  Anyone else remember the mortgage rates?


Mortgage rates in the 1980's were as high as 18%, I purchased  during that time and my mortgage was 12% and I thought I was lucky.

 

Mortgage rates in 1996 were 8.75% when I built my house.  I refinanced in 2004 at 5.75%.

 

Interest rates and mortgage rates go hand in hand............higher mortgage rate, interest rate on your savings increases as well.

Honored Contributor
Posts: 22,374
Registered: ‎10-03-2011

@Still Raining wrote:

I still remember about 1980 or so, wow.  Now I know why old folks say kids are spoiled.  Anyone else remember the mortgage rates?


We bought our first home then. 12% 😳 

Honored Contributor
Posts: 15,384
Registered: ‎05-01-2010

Bought our home in the eighties also. I think 13% or it could have been more. So long ago and we refinanced as soon as they went down.

Esteemed Contributor
Posts: 5,577
Registered: ‎03-09-2010

So for those who believe the talking heads that these are inflation fighting measures...

 

Then why is inflation still soaring one year after the first rate hike?

 

They have lost control of the economy and have nothing left to throw at it.

 

 

Honored Contributor
Posts: 8,077
Registered: ‎03-14-2010

@Still Raining wrote:

I still remember about 1980 or so, wow.  Now I know why old folks say kids are spoiled.  Anyone else remember the mortgage rates?



I do.

 

We were THRILLED to get 16.5%. Most banks where we tried to get a mortgage hung up on us. We were putting 20% down. And both of us were at our jobs 10+ years. 

Our real estate agent finally pulled some favors and got a bank to give us a mortgage. I forgot how many points we had to pay.