If the Federal Reserve raises interest rates today, it should only be by 1/4 percent.
That shouldn't have a huge impact on any of you.
But it's the expected upward trend, up to 1.2 percent and maybe higher by 2017. That could be a concern.
Below are 5 ways an increase could affect you:
Mortgage rates: If you have a fixed-rate mortgage now, no worries. But if you've got an adjustable rate, expect it to go up as the Fed increases its rate.
Credit cards: Those credit card APRs (annual percentage rates) are tied closely to Fed moves. If there's an increase, expect to see yourself paying more for your debt. You may also see less of those long zero percent offers.
Car loans: If you have one, you're good. Those are usually fixed rates. If you're looking for a loan, you also have some time. But, keep a close eye on Fed news so you get in before.
Jobs: Experts suggest something that makes sense. If businesses have to pay more to borrow, or it becomes harder to do, they are less likely to expand. This isn't going to happen immediately. But as rates go up, consider it a concern for job growth.
Saving rates: This is good news for you savers. After years and years of getting next to nothing, a rise in interest rates should mean better yields for money in banks.
And it's a good time to check with an expert about your 401k. Experts say an interest rate rise could mean some volatility in an already roller-coaster ride market.
