The Vice Tightens on Middle Class Families | Talking Points Memo

The CPI news is just in: core inflation (without food and energy) is up for the third straight month, and it is now clear that the Feds will raise interest rates. The big question for the money gurus is whether the next hike will be another quarter-point or a half-point. Debtors are caught in a vice: Their incomes are stuck at ground level, but their payments float like balloons. The last increase in interest rates translated into higher credit card bills in a matter of days. Every hike in interest rates translates into bigger house payments down the line for anyone with an adjustable rate mortgage. And the college students taking out new loans can expect their costs to go up too.


This is a companion discussion topic for the original entry at https://talkingpointsmemo.com/?p=1250098