Federal Reserve is HIKING Interest Rates This Month // Here's How it HELPS You (+4 Action Steps)

In today's video, I break down the interest rate hike the federal reserve will implement this March. My goal is to help you understand the reasoning for this, how it affects our economy in general, and how it will impact YOUR personal finances. Unfortunately, this January, the inflation rate for the last 12 months was all the way up to 7.5%. That's 2 points higher than the inflation rate back in the Great Recession of 2008! That combined with increased consumer demand from the economy opening up post-pandemic, it's caused an inflation rate we haven't seen since the early 1980's. Thus, the Federal Reserve wants to increase interest rates. The thing about the Fed interest rates is it affects almost every other kind of interest rate. Mortgages personal loans, car loans, credit card interest rates — they are all impacted, effectively making everything cost more that can be financed. Not only for individuals but also for businesses. The goal of the interest rate hike is that this will actually cool down our economy. Consumer demand has been so high in the last year because so much of our economy was shut down during the pandemic, people are ready to spend money. Not just on products but also vacations etc. It's good to see, but it makes costs rise because demand is so high. Similarly, supply chain issues have created even more issues because despite higher demand, it's more difficult to even get products, especially those manufactured in other countries. By increasing interest rates, the Federal Reserve wants to slow down the economy, lowering demand and effectively product prices to help curb inflation. One benefit is this should also increase the interest rates on high yield savings accounts. Here's some action steps for you as interest rates hike: 1. Don’t make any rash purchasing decisions just because the interest rates are low 2. Pay off those credit cards pronto! 3. Don’t take money out of the stock market just because it’s low 4. Actually increase your savings! Timestamps: 0:00 - Intro 0:21 - Current Inflation Rate 1:08 - What the Fed will do 1:45 - Affect of higher rates 4:38 - The good news about higher rates 5:36 - What you can do! 6:58 - Wrap up #federalreserve #interestrates #ratehike #calebbale 📒 Notes and Resources 📒 ⚡️OTHER VIDEOS THAT YOU MAY LIKE⚡️ 🎬7 Reasons You Need a Budget in 2021:    • 7 COMPELLING Reasons You Need a Budget in ...   🎬6 Tips for Keeping a Successful Budget:    • 6 Practical Tips for Keeping a Successful ...   🎬How to Make Your First Budget Ever:    • How to Make Your First Budget EVER Using t...   🎬Dave Ramsey's Baby Steps of Personal Finance:    • How do Dave Ramsey's 7 Baby Steps of Perso...   ⚡️GET FINANCIAL COACHING⚡️ If you need some help with getting your debt worked out, set up a session with me. I legitimately want to help. www.balefinancialcoaching.com ⚡️FOR INQUIRIES⚡️ For business and coaching inquiries, hit me up: [email protected] ⚡️CHECK OUT THE BLOG⚡️ http://balefinancialcoaching.com/blog/ What's one way to improve your finances today? Get started on a budget! There is so much freedom in a budget which makes me excited to teach about it. Financial education is the beginning of making your financial goals come to life. But action is what will actually make them happen. Congratulations on taking the first step! If you need some extra help, I'm always available. I'm a financial coach trained by Ramsey Solutions to help people like you with controlling their money. My goal is to give you hope in your own situation. It's okay to need help. Set up a session with me on my website balefinancialcoaching.com. ⚡️DISCLAIMER⚡️ Do your own research. My content is intended to be used and must be used for informational purposes only. It is very important to do your own analysis before making any investment based on your own personal circumstances. You should take independent financial advice from a professional financial advisor when considering your retirement options. Though I teach financial principals, I am not an investment advisor and none of my advice constitutes legal, tax, or investment as a professional. Everything I share is based on my own research and is intended for your benefit. ⚡️DOWNLOAD MY FREE KINDLE BOOK⚡️ Graduated and Clueless: How to live like an adult when life is confusing https://www.amazon.com/Graduated-Clue... ⚡️EQUIPMENT I USE⚡️ This is the equipment I use with Amazon affiliate links. If you choose to purchase anything using these links, you will not be charged anything financially, but will be able to support my channel in a small way! Sony A7S II: https://amzn.to/38PM8Sl Neewer 660 LED bicolor lights: https://amzn.to/3o4KB1a Rokinon 12 mm lens: https://amzn.to/38Qpauy Magnus VT 4000 tripod: https://amzn.to/3aXmNsj Rode Video Mic: https://amzn.to/3b0nfWI //PNG TREE// Facebook like button image was used with permission of PNGtree.com. https://pngtree.com/freepng/facebook-...