Lower interest rates makes it harder to save

[kst$]

Lower interest rates can make it hard for your money in the bank to make money. This can be frustrating. Yes you might be able to afford that car or house you been wanting. But how can your money make money on such low rates. Reading Below may be helpful to you.

IN AN EFFORT to reignite the slowing economy, the Federal Reserve has been taking a hatchet to the federal funds rate. Since September, the central bank has slashed rates seven times, from 5.25% to 2.25%, hoping that consumers will take advantage of low-interest loans and spend more money.

However, low rates like these can be a bit of a Catch-22 for consumers. On one hand, their money-market accounts or certificates of deposit start earning less in interest, thereby curbing their savings' growth. On the other hand, they can lock in lower-interest loans and credit-card deals, potentially saving hundreds or even thousands of dollars in interest payments.


Unfortunately, that perk can't be exploited by everyone. Given tightened lending standards, borrowers need a credit score of at least 700 to land some of the lowest-cost loans, says Scott Bilker, founder of DebtSmart.com.

Here are five ways you can make today's low rates work for you:

Top 5 ways to make the most of lower rates

by AnnaMaria Andriotis

Know what your credit score is and the interest rates on credit cards, mortgages, and car loans before you start to hagle to lower your rates.
Do your home work on what others have to offer so you have numbers to work with.

[I-luvmoney]

Yes this might seem like a great offer for now'
but this is only a thing to get people to spend more and
think they are getting a great deal till their money in
the bank doesnt gain any interest And how do you
explain to a young couple just starting out that this is not
something they want to get caught up in