Navigating the Conundrum: The Fed's Dilemma on Rate Hikes

The Federal Reserve is expected to continue with rate hikes, which will impact consumers' borrowing costs, including credit card, mortgage, and auto loan rates. The average credit card rate is now over 20%, an all-time high, while the average rate for a 30-year fixed-rate mortgage is 6.66%, up from 4.40% last year. Adjustable-rate mortgages and home equity lines of credit are also affected. However, deposit rates at banks can reach up to 5.02%, much higher than last year's 0.75%.