NOW is the Time to Take Advantage of Low Interest Rates
The big financial news this morning is that the Fed has cut rates to 1.5%. This is part of a global effort to cut rates by 50 basis points, made by central banks in several other countries. The plan is to try and free up the credit markets and get cash moving around the world.
For those of you struggling with credit card debt, you have a great opportunity.
With interest rates dropping, your credit card interest rate is likely to drop as well. This means that more of your payment will go to the principal. It’s the perfect time to aggressively pay down some of your credit card debt.
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Tags: credit card debt, credit-card, debt, Fed-rate-cut, interest credit card, Interest rates, low interest rates, pay down credit cardRelated Stories
POSTED IN: Consumer warning, Credit, Debt Management, Family finances, Money advice, Personal Finance
3 opinions for NOW is the Time to Take Advantage of Low Interest Rates
Fed Rate Cut: Are More Cuts on the Way? - Mortgage Rate News
Oct 8, 2008 at 11:07 am
[...] effect on mortgage interest rates, provided the credit market really does ease. And it offers a good opportunity for those struggling with consumer debt — especially credit cards — to more efficiently pay it [...]
FFB
Oct 8, 2008 at 11:25 am
Your credit card rates may only drop if you’ve been a customer in good standing. If you have late or missed payments then the credit card companies may still keep high rates. Now is the time to get your finances in order so you can take advantage of lower rates!
miranda
Oct 8, 2008 at 11:27 am
Good point, FFB. However, some will drop rates from 29% to 25% or 21% if you have been showing progress. And if you don’t see a drop, it doesn’t hurt to call the card company and ask for one.
I like your assessment. If you’ve been waiting to buy a car, or get some other type of loan, now is the time to do it — if you can get a bank to lend you money.
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