The new scare is interest rates would sky Rocket on loans.
 

Is this Current loans? Or New Loans for car, house and such.

I don't see if you are in a contract with a lending company, how they can raise your rate higher than what is in the contract.

I do not know much about this area, as I have always paid cash.

Current and new. Rates are renegotiated every 5/10/15 years. What's affordable now might be foreclusure in 5 years for many who bought the most expensive home they could buy.

Smart people buy what they need and keep the market fluctuations into consideration, General joe public goes broke by 2014.. subdivisions will be ghosts towns..

when you take out a loan, the rate is guaranteed unless you are stupid and sign something otherwise.

ive gotten a few things before from banks were I had car loans that they would give me a lower rate but the fine print said they would adjust the level after 12 months... bull shit.

the problem is people buy what they can't afford. i got a house for far less then I was approved for because I dont need to spend $4k/mo on a mortgage and have a 6 bedroom house

What new loans?

The US is great!

High risk people pay higher rates for their credit cards, car loans, mortgages, etc.

High risk countries face the same fate.

Unlike wealth at the top, that DOES NOT trickle down, higher interests rates certainly will.

If you signed a loan with set %'s in it then the loan can NOT go higher than that. +/- x%

If they try to raise it then you may be able to sue them for the breach of the terms. Hope you read the terms.

When your local pizzeria owner has to pay a higher business loan rate, your pizza price will go up.

Is that simple enough to understand?

Tip: Distinguish between fixed rate loans and adjustable loans, between the short-end of the yield curve and the long-end of the yield curve, and between the fact that the long-end is substantially more controlled by the market than the short-end.



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this isn't a new scare at all. i would think it is common knowledge.

the us defaults, the prime interest rate is impacted, which impacts all interest rates for the u.s.

Credit cards are variable rate on balances ? they do have some ridiculous rate caps though, 29% or something ... Rates are adjusted monthly; prime rate % +$x% = APR

And when a company has to pay higher taxes you will pay a higher rate for their service. Is that simple enough to understand? :1orglaugh

You were'nt suppose to notice that! :1orglaugh

you don't know the simple rules of fixed or variable rate loans? no matter if you have paid cash all your life, any idiot would know this. yet you are full of 'knowledge' about many other things, most of which you just read from sites like infowars.com. time to take a look at yourself, buddy.

i wonder if banks would still get money at 0% like they have been for years now...




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DUH, not the question can your read?

Does it raise higher rates on Current loans, or on New loans only?
I don't think anyone knows and are just fear mongering.
We are also at our lowest rates EVER, so people have paid it before.
Oh WAIT Don't raise rates on companies right? What about taxes?