Fed Keeps Interest Rates Frozen: What Another Pause Means for Your Credit Cards [CNET News]
Uber Technologies, Inc. (UBER)
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Source: CNET News
If you think the Federal Reserve is starting to sound like a broken record, you're not alone. For the sixth time, the Fed voted Wednesday to maintain current interest rates . The federal benchmark interest range still sits at 5.25% to 5.5%, where it has been since July 2023. Seemingly, it can do little else in the face of stubborn inflation, as it remains above the central bank's 2% target rate. Inflation increased slightly to 3.5% in March year over year, up from its lowest point of 3% in June 2023, but way down from its 9% peak in June 2022. That means, for now, don't expect any major changes to your credit card interest rates for the foreseeable future. The average APR on a credit card is nearly 21%, according to CNET's sister site Bankrate In the last meeting, the committee indicated it may begin to decrease ratings this summer, but now, with inflation proving difficult, the Fed has changed its tune. “The Committee does not expect it will be appropriate to reduce the targ
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