Federal Reserve Keeps Rates Near Zero, but Expect Interest Rates to Rise

Interest rates are expected to soon rise, even as the Federal Reserve announced last week that it would keep its benchmark rate near zero. The Fed, however, warned that it was preparing to taper its emergency stimulus efforts from the pandemic, including winding down its bond purchases. That is expected to make mortgage rates rise, as well as rates on credit card and car loans. Mortgage rates have been ultra-low for over a year, but long-term, fixed mortgage rates will likely move higher. Learn more.