NORTH DAKOTA (KXNET) — The Fed raised interest rates again this week – the 9th time since last March. This time, to 5%.
An increase in interest rates will have an immediate impact on the 30% of Americans who have credit card debt.
According to the Fed, North Dakotans have some of the lowest credit card debt in the country, averaging over $5,000.
While that may be good news for our country, thousands of people still have to pay thousands of dollars.
But there are ways to help pay off your debt.
If you have good credit, transfer the balance to a card at an introductory zero percentage rate.
If you don’t qualify, a low-interest personal loan can also help.
And finally, try picking up the phone and asking your credit card company for a lower rate.
“We found about 70% of people who asked for a lower rate on their credit card last year got one,” said Lending Trees representative Matt Schulz.
So why are we raising interest rates again?
The Fed blamed inflation, but they said they were still trying to get inflation back to its 2% target.