Short-Term Interest Rates Raised for First Time in Nearly a Decade

The Federal Open Market Committee announced Wednesday that it was raising short-term rates by 0.25 percent.
1:17 | 12/17/15

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Transcript for Short-Term Interest Rates Raised for First Time in Nearly a Decade
Stocking around the world rising this morning after that big decision from the federal reserve raising interest rates for the first time since the financial crisis started. Wall Street reacting possley, the Dow jumping 224 points and Rebecca Jarvis is here to explain what this all means. Good morning, Rebecca. Hi, robin, good morning to you. This impacts all of us and here's how. It's going to get more expensive for anyone who wants to borrow money, a new car loan, a mortgage, your credit cards, they will all cost you a little more. You're see it very first in those credit card bills. Most of us have variable rates. They're going up in the next one to two billing cycles so the best thing you can do for yourself here pay off as much of that debt as possible because it will keep getting more expensive as rates rise next year That's the bad news but good news here, too, Rebecca. It's the best news for savers. Retirees living on a fixed income, they have really felt the downside of these 0% interest rates. Now that rates are going up they'll get paid a little bit more on their savings and cds. Can we expect more rate hieblgs? We will expect more rate hikes. In fact, the federal reserve is signaling we should probably see interest rates next year rise between 1% and 1.5%. Tells us where the direction of the economy is going. All right, Rebecca, thanks. The latest on Ethan couch

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