Illustration showing how a Federal Reserve rate cut affects credit card APR, mortgage rates, auto loans, and personal loan costs by GlimMarket.com
News- Personal Finance

The Fed Cut Interest Rates. What Does It Mean for Your Loans and Credit Cards?

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The Federal Reserve’s reduction of its benchmark interest rate alters borrowing costs across various debt categories based on their structure. Variable rates on items like credit cards adjust downward swiftly, reducing interest expenses, while fixed rates on loans such as mortgages stay constant, offering no immediate relief to existing borrowers.