WASHINGTON–With the Federal Reserve expected to raise interest rates against his week when it meets, consumers, who say they are “fed up” with the job the central bank is doing, can also expect to pay billions more in interest as the result, according to a new survey and analysis.
WalletHub has released a new Fed Rate Hike Survey that seeks to gauge consumer sentiment around the rate hikes. According to WalletHub, five key takeaways from the most recent research include:
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Fed Up With the Fed: More than six in 10 people think the Fed is not doing a good job.
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Extra Credit Card Interest: A 100 basis point Fed rate hike on July 27 would increase the cost of credit card debt by $6.4 billion this year, not counting other increases so far this year, WalletHub.
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0% Offers May Go Away. WalletHub advised consumers now is the time to take advantage of a 0% balance transfer credit card because such offers will be less common as interest rates climb.
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Not Ready for Recession: 48% of people do not think they are financially prepared for a recession.
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Overall Inflation Concerns: Nine in 10 Americans are concerned about inflation right now.
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Blaming Politicians: 61% of people blame U.S. politicians the most for inflation.
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Feeling the Impact of 2022 Rate Hikes: 63% of people say their wallets have been affected due to the 1.5% increase in Fed rates this year.
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Upsetting More People: 28% more people are upset about the Fed raising interest rates, compared to last month, WalletHub reported.
- Job Insecurity: 56% of Americans say the Fed rate hikes make them worry about layoffs and job security.
For more information, go here.