With the Federal Reserve’s interest rate hike on Wednesday — its fourth since March — consumers again face the question of where to park their savings for the best return and how to minimize their borrowing costs.
In its bid to beat back high inflation, the US central bank hiked its overnight lending rate another 75 basis points to a range of 2.25% to 2.50%. And more rate hikes are anticipated later this year.
“With inflation running north of 9%, we’re not at the finish line and there will be more interest rate increases to come in the months ahead,” said Greg McBride, chief financial analyst at Bankrate.com.
Here are a few ways to situate your money so that you can benefit from rising rates, and protect yourself from their downside.
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