Federal Reserve interest rate cut could help people with loans, credit cards

Federal Reserve Chairman Jerome Powell announced the first rate cut of the year on Wednesday. Policy makers opted for a quarter-point cut.

“With today’s decision, we remain well-positioned to respond in a timely way to potential economic developments,” Chairman Powell said. “We will continue to determine the appropriate stance of monetary policy based on the incoming data, the evolving outlook, and the balance of risks.”

Winston Trotter is a financial advisor with Inclusive Wealth Management. He explained this could impact many of your loans.

“Things such as credit cards, student loans, mortgage rates should start to come down a little bit more as a result of the actions of the Fed today,” Trotter said.

Assistant Professor in Accounting at the University of Texas Dallas, Kirti Sinha ag