News
Federal Reserve Hikes Interest Rates .75 Percentage Point… Again
Borrowing money is going to cost you even more. On Wednesday, the Federal Reserve raised interest rates once again by three-quarters of a point for a fourth straight time and the sixth raise in a row. The latest move raises the fed benchmark rate to a range of 3.75% to 4%, the highest level in 14 years with more hikes likely to come.
“What the federal reserve is trying to do is actually bring down the inflation rate by slowing the economy, by slowing the pace of the movement of money in the economy,” said Robert Schein, Managing Director and Partner at Blanke Schein Wealth Management.
As interest rates increase, affordability decreases making it more costly for consumers and businesses to borrow money for homes, cars, and other purchases.
“When you raise the rate by 1 point that means you’re going to lose approximately 10% of your buying power, so on a $500,000 house you’re going to lose $50,000 now you can only buy a $450,000 house,” said John Sloan, real estate agent at Keller Williams Luxury Homes.
In the midst of an economic downturn, experts say there are things you can do to give yourself some financial relief – beginning with your credit cards.
“Call the credit card companies, ask for a better rate,” said Schein. “Look at all your credit cards and look at the rate within, see what you’re paying.”
Experts recommend transferring balances to cards with the lowest rates and paying off those charges.
“Never make the minimum payment,” said economist JohnPaul Valdez. “Always make your payment on time and if it says the minimum payment is $29, send $35. Send an extra $5 or $10 and the algorithm is not only going to pick up that you paid on time, but you paid more than you had to.”
The bottom line is if you can pay for things with cash and pay off your debt as soon as possible.
“So just be proactive and get ahead of this because next year could be even tougher than this year,” said Schein.
By: NBC Palm Springs
November 2, 2022
Latest Instagram Posts
More than 1,000 runners and walkers took on the “World’s Toughest 6K” at the 39th annual Palm Springs Aerial Tram Road Challenge! 🏃♀️🏃♂️ Cathedral City’s Amelio Chio claimed the overall win in 28:08, while Jade Belzberg took first place in the women’s division with a time of 30:42. Local athletes from across the Coachella Valley also made their mark on the challenging course! #PalmSprings #TramRoadChallenge #CoachellaValley #Running #RoadRace NBCPalmSprings
Who makes the NBC Top 3, winner will be announced Sunday night on NBC Palm Springs, with the player who makes the number one spot winning a $250 prize from @hondaofthedesert! Comment below if it will be 1) Damian Walls extending the play for the TD, 2) Aiden Pope with the 100 yard pick-six, 3) Adam Tremper breaking tackles for the TD, 4) Trey Boulton snagging the contested catch, or 5) Devin Session with the TD throw on the run #hondaofthedesert #fnl #fridaynightlights #fyp #highschoolfootball
We’re in Palm Desert this morning as demonstrators gather for the No Kings rally, joining a nationwide day of protests and calls for political accountability. We’re talking with people at the rally about why they’re here and what they hope their voices will accomplish. Events are taking place across the country, with organizers also encouraging voter participation ahead of the election. Follow NBC Palm Springs for more voices and scenes from today’s rally. #NBCPalmSprings #PalmDesert #NoKings #CoachellaValley #Protest CommunityVoices
We’re in Cathedral City this morning for the No Kings: Vote Early event, joining communities across the country focused on getting voters to the polls. We’re talking with people here about why they came out and what motivated them to participate. Nearly 3,000 events are taking place nationwide to encourage early voting and civic engagement. Stay with NBC Palm Springs for local voices and perspectives from today’s event. #NBCPalmSprings #CathedralCity #NoKings #VoteEarly #CoachellaValley CommunityVoices
“NO KINGS: VOTE EARLY”: Residents gathered at Palm Springs City Hall for the “No Kings: Vote Early” event, sharing what brought them out and why making their voices heard matters. #NoKings #PalmSprings #CoachellaValley #VoteEarly #civicengagement
Meet Gavin, aka “Banana Boy”! The Coachella Valley Firebirds fan favorite stopped by Very Caliente to share how his love of Fortnite inspired his iconic Peely costume — and his signature dance to “Peanut Butter Jelly Time” on the jumbotron. And yes, we finally got to see the face behind the banana! #NBCPalmSprings #VeryCaliente #CVFirebirds #BananaBoy #CoachellaValley
The #NorteFire is spreading near San Juan Capistrano and San Clemente. Fire crews are working to contain the blaze as conditions develop. Stay tuned to NBC Palm Springs for updates. #NorteFire #SouthernCalifornia #Wildfire #SanJuanCapistrano SanClemente NBCPalmSprings
Strong winds are expected across Southern California today, with speeds reaching 25 to 35 mph. Officials warn of possible falling trees, downed power lines and hazardous driving conditions, especially for high-profile vehicles. Southern California Edison says emergency crews will be on standby for possible power outages. If you see a downed power line, stay away and call 911. #SouthernCalifornia #CoachellaValley #WindAdvisory #PowerOutage #SouthernCaliforniaEdison NBCPalmSprings
Sordid Lives is returning to Palm Canyon Theater October 30 through November 15! Playwright Del Shores joins NBC Palm Springs’ Tod Macofsky to talk about the beloved production and its long history in the Coachella Valley. Want to see the show? NBC Palm Springs is giving away two tickets! Enter on the promotions page at NBCPalmSprings.com. #SordidLives #DelShores #PalmCanyonTheater #PalmSprings #CoachellaValley DesertEntertainment NBCPalmSprings
🗣️ NO KINGS DEMONSTRATIONS ARE COMING BACK TO THE COACHELLA VALLEY! Thousands of demonstrations are planned nationwide Saturday, including FIVE right here in the Valley. Organizers say the goal is to help eligible voters prepare for the polls and know their rights. 📍 Events are planned in Palm Springs, Cathedral City, Palm Desert and Indio. Will you be hitting the streets this weekend? 👀 #NoKings #CoachellaValley #PalmSprings #Indio #CaliforniaNews