RateAPY

Prime Interest Rate to Remain Low

Posted by: RateAPY Bank Rates News
January 6th, 2010

The Federal Reserve’s Federal Open Market Committee released the minutes from its most recent meeting of December 2009. The minutes show that there is a concensus to keep the fed funds rate, which affects the Prime Rate, low.

What Prime Rate Affects

The Prime Rate is a commonly used index to determine the interest rate you may pay on your home equity mortgage or your credit card debt. If you are carrying a balance on either a home equity loan or credit card, you should be aware of what is happening in the economy that may make the Prime Rate go up or down.

Fixing a Mortgage That Adjusts to Prime Rate

If you have an adjustable mortgage such as a home equity loan, you may want to refinance into a low fixed-rate mortgage before interest rates go up. Check current mortgage rates today.