Jenni Stolarski: Top Producer 2017
Monthly Archives: March 2018
The Fed Raises Rates: How That Impacts You
This week, the Federal Reserve announced that it was raising interest rates 0.25%, to a range of 1.5% to 1.75%. While Fed-watching has become a spectator sport, the headline isn’t exactly a surprise. Market watchers have been anticipating the hike for months — and expect the Fed to raise rates several more times this year to keep inflation from rising too far too fast.
NerdWallet shares how this may impact you below:
| So how does this affect you? A small change — like this week’s — doesn’t move the needle so much, but further rate increases in 2018 will likely make money more expensive. Here’s what that means for four different financial scenarios:If you owe money on credit cards: Any change will take a month or two to be reflected in your annual percentage rate (APR), but when it hits it will become costlier to carry balances and monthly minimum payments may increase. If possible, reducing your credit card debt is always a good move. Here’s how to get out of credit card debt. If you have money in a savings account or CD: Banks don’t always move rates in lockstep with the Fed. Expect savings yields to change gradually, but look for steady increases at competitive online banks, which already offer yields more than 20 times the national average. This is a great time to comparison shop for a new savings account or CD. If you want to buy a house: The “historically low mortgage rates” you’ve heard of for the past few years will likely still be available for quite some time. If you’re ready to buy a home, don’t let moderately higher mortgage rates dissuade you. Keep in mind rates still fall far short of the historical average of 8%. Compare mortgage lenders to get the best rate, and also focus on fees, time to close and customer service. If you’re an investor: The stock market likely has already priced in this week’s rate move and maybe some future increases. So don’t try to outguess the stock market when the market zags. Instead, stick to your long-term plan. For many people, low-cost index funds make sense. Remember, rising rates are correlated with a strong economy. But to get you through any short-term anxiety, here’s more about what you can do across different accounts, including how to make a rate hike work for you. |
On Dreams and Mysteries
I’m a list-writer. Seriously, I have lists for everything…goals, travel, budget, business, life. Sometimes they’re in spreadsheet form, but mostly I rely on pen and paper. I try to keep them up in front of me, but they can fall to bottom of a pile. This week, while prepping for our upcoming trip to Alaska, I stumbled upon a list from 2010 of “50 things I want in life”. It was an exercise that my friend Pickert had me do. The funny thing is that, even though I haven’t seen this list in quite a while, many of the things have been accomplished. Which brings me to Alaska.
Number 31 on the list is “see the Aurora Borealis”. For a long time, I’ve wanted to witness this mystery. There’s a lot known about the Northern Lights, but it still remains unresolved as to the exact when & why of it. Something to do with electromagnetism, negative ions, solar flares, and fairies (just kidding about the fairies). I love that as much has been discovered about the Aurora, we still can’t accurately predict when they will be visible or what colors will show up. Last year, Val and I booked a trip to Alaska with Planetary Society guides to learn a bit more, and hopefully, see some lights.
Even, if by chance, I don’t see the Northern Lights and I don’t get to check this one off the list, I will be forever grateful for the opportunity to dream.