A top financial analyst is forecasting higher interest rates across the board in 2018.
Bankrate.com's Greg McBride expects three more rate hikes from the Federal Reserve this year, affecting both home equity loans and credit card debt.
“Have a game plan for attacking that debt, pay it down, transfer the balance to a low-rate balance transfer card so you can insulate yourself from further rate hikes and give yourself a window of opportunity to get the debt paid off once and for all,” he says.
At the same time, those trying to save money will finally get a break.
“The top yielding savings accounts, as we move into the latter portion of the year, the yields on those top accounts will be above two percent and above the rate of inflation which is critically important to maintaining the buying power of your money,” says McBride.
Homebuyers also will see rates fluctuate throughout 2018.
“Expect mortgage rates will pull back below four percent at least once, maybe twice during the year, before pushing higher later in the year.”
McBride also believes auto loan rates will go up slightly, but remain around five percent.