The interest rate reduction announced yesterday by the Federal Reserve is like music to my ears! Four years of steadily rising interest rates took their toll on my finances, with interest rate increases on both my adjustable mortgage and revolving credit accounts.
The federal fund interest rate reduction should benefit us all in various ways.
If you have an adjustable rate mortgage, it should adjust down. If you are looking to refinance your mortgage, the rate should be lower. Credit card rates should drop also, even if the effect is minimal. Any savings in interest expense is good for the individual. IF the interest savings is used wisely!
Probably the main motivation for dropping interest rates is to increase consumer spending, and ease credit concerns in the housing market. The fed is hoping we will out go out and increase our credit balances by purchasing new housing and other consumer items. That would be excellent for business and the economy!
Personally, I will use the lower interest rates to eliminate more debt. I plan to pay down as many credit accounts as possible. I want to be debt and interest FREE!
Do you ever wonder how people get rich? I do... One thing I believe strongly, is that I will never get rich by paying exorbitant interest charges to billion dollar finance companies!
If you are looking to reduce your interest charges and pay down your debt also, you might want to try our Personal Finance Analyzer. If this tool is used properly, it can provide you with serious long term financial relief, and provide you with real money savings every month!
Now is the time to seize one huge benefit of the Federal Reserve interest rate reduction. Take the savings in interest expense, and use that savings to pay down all your existing debt!
In the long term, this can be the greatest benefit of all!
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment